The Impact Of Exchange Rate Changes On China’s Employment

Employment is the foundation of people’s livelihood, the national social, economic, political, social stability. With the continuous development and perfection of market economy system, the impact on the adjustment of exchange rate changes of market economic structure has became more and more obvious. How is the impact on employment could be when adjusting the RMB exchange rate impact in China? Master by research and on the relationship between them, can according to the change of exchange rate forecast employment, for making reasonable employment regulation policy to provide basis and reference. Therefore, research on the RMB exchange rate change has very important influence on employment relationship.The real effective exchange rate of RMB and employment is considered as the main research object for this article, using the empirical research method, the problems are analyzed and discussed in depth. On one hand, affect the using state level data on RMB real effective exchange rate on employment of short and long term makes empirical analysis. Research result shows that, from a long-term point of view, there is a positive correlation between the RMB real effective exchange rate and non trade sector employment, and employment and trade sector has negative correlation. From the short-term effects of view, the RMB real effective exchange rate is not conducive to employment.On the other hand, this paper constructs the econometric model of the relation between employment and the exchange rate, and the use of area level data, analyzes the RMB real effective exchange rate on output and employment of different provinces. Analysis results show that, the RMB real effective exchange rate, labor productivity and employment rate is negatively related to GDP, area, average wage and employment is significantly positive correlation. Basis on the previous research method, this article uses the panel data to analyze the changes of exchange rate on the employment situation in each area, for the understanding of the relationship between RMB real exchange rate and employment, pay attention to RMB real effective exchange rate impact on the employment structure, use of the RMB exchange rate factors make reasonable adjustment of employment structure plays reference and the reference value.