Research On Sustainable Development Of China's Labor Cost Advantage

Low labor cost has been seen as the" comparative advantage" of China's economic development, Our country has introduced numerous foreign investment by this advantage.and realized the economic change during thirty years of the reform and opening up, GDP has went up to the second in the world, The comprehensive strength of the country become Constantly strengthen.Foreign exchange reserve has changed from shortage to rich, Large enterprises continue to emerge and grow rapidly. Today, China is playing a decisive role in the process of economic globalization. However, in recent years, the spread of the" shortage of migrant workers", and a increase of ordinary laborer salary year by year, has caused a widespread concern in the community. There are more and more explanations on Chinese labor cost advantage has disappeared or not. But it is rarely to explain this hot topic from the perspective of statistical and econometric models. This paper uses the methods of economics, statistics, unit root test, state space model and so on, to explore and study China's labor cost advantage of persistent problems, the conclusion is that China's labor cost advantage still exists, and it will not disappear in the next five years, Finally we'll put forward a few corresponding policy suggestions According to the conclusion.