The Empirical Analysis About The Effect Of Shanghai’s Industrial Structure Variation On The Employment

Since the reform and opening up, Shanghai has made considerable progress ineconomic development. Comprehensive strength and overall living standards havebeen greatly improved as well. However, at the same time, Shanghai is facing thedual-task for both industry structure adjustment and full employment. Therefore, ithas important practical significance to find out the way to collaborative developmentof industry structure and employment structure.This paper describes the change progress of industry structure andemployment structure and the relationship between them by means of structuraldeviation coefficient, correlation matrix and employment elasticity on the basis of thedate from1978to2010announced by Shanghai Statistical Bureau. We find out thatthe evolution of industry structure and employment structure meets C.Clark Law. theconclusion of the analysis of structural deviation coefficient and correlation matrixshows that there are surplus labors in primary industry. Second, secondary industryand tertiary industry need further optimization in order to promote employment.Besides, the industry internal structures should be appropriately adjusted. By theanalysis of employment elasticity, the author thinks that the effect of boosting of thetertiary industry is significant. It will play an important role in the future.In the paper,by constructing econometric models, base on Malmquistanalysis on the TFP of shanghai, an model is introduce to discuss the relation betweenindustrial structure variation and the employment. It comes to below conclusions.Secondary industry can hardly affect the holistic employment increase, while tertiaryindustry greatly contribute to the holistic employment, meanwhile, structuralunemployment raised by the industrial structure changing process will bringsignificant negative impact to the employment, the development of the non-publicownership economy would be effective in promoting employment growth.Finally, based on the above analysis, the paper discusses the factors influencingemployment effect from the aspects of labor supply and labor demand. The authorgives two aspect of suggestion that one is industrial structure upgrading and optimizing, and that the other is promoting employment.