The International Division Of Labor Further Promotes China’s Productive Service Trade Competitiveness

In the background of economic globalization,the labor division and cooperation among countries have been even more intensive,and the manufacturing procedures which were previously conducted in one country/region are now allocated to several ones.The international system of labor division has developed as well,from inter-industry,even to intra-product.As it refines,countries’demand for trade of components and intermediate goods has increased year by year,which represents the commerce of productive service.As the major bond connecting distributed spaces of production,the trade of productive service plays an indispensable role in the progression of international labor division.This thesis summarizes the way in which international division of labor promotes the productive service trade competitiveness systematically on the basis of "JK model".It covers four aspects,ie.demand, comparative advantage, scale economy and technological progress.Both developing countries and developed countries will enhance their productive service trade competitiveness by improving the degree of participate in international division of labor.Based on the 2002-2011 the VSS indexes of China international division of labor and OSTC productive service trade competitiveness index,there has carried on a statistical analysis to the international division of labor deepening enhance competitiveness of China’s productive service trade. The results show that the China’s productive service trade as a whole size smaller.And the degree of China participating in the international division of labor is lower.But in recent years the degree of international division of labor in China is further.Ranking the competitiveness of International productive service trade from high to low is financial, royalties and privileged fees, insurance, telecommunications and other business services, transportation, and computer and information consultation.Productive service trade competitiveness is low in our country.The gap between China with European and American developed countries is large.But among similar background in developing countries China is at a higher level, And the development trend is good. China’s productive service trade competitiveness shift along with the change of the degree of participation in international division of labor.During the financial crisis in 2007-2009, when the degree of participation in international division of labor short-term declined in our country, the productive service trade competitiveness was weaken accordingly.When VSS rised,then OSTC followed the trend.Finally,putting forward feasible suggestions for our country to actively participate in international division of labor and productive service trade competitiveness promotion combining with the above.