Export Trade, Labor Income And The Coordinated Development Of Provincial Economy

Since China adopted the policies of reform and opening up, China has come to the notice of the world because of rapid economic growth. The export trade plays an important role in the process. Labor income which is closely linked with the living standard has produced important influences on the stability of economy and society. Since China implemented the strategy of export-oriented, the development of export trade has entered a rapid development track. As an important indicator of measuring labor income, the total wages of workers have increased. Many foreign studies have shown that export trade can lead to the development of a country’s economy. From export trade impact on the technological progress, income gap and the micro enterprises, domestic scholars have conducted many studies. However, the research based on the data of China’s major provinces is still few. In this paper, the writer studies the impact of trade on labor export revenue in China’s major provinces such as Guangdong province and Anhui province as the typical provinces.Firstly, the writer summarized related research in the existing field. Then the writer describes Chinese labor income levels and the development of export trade. The empirical model is established by using the data of10main provinces in China. The Johansen cointegration test, variance decomposition and impulse response function analysis method has carried on the empirical analysis. The empirical results show that China’s export trade has a significant positive impact on labor income, but the influence degree among the provinces is not balanced. Finally, the writer presented policy recommendations on the basis of empirical results.