Study On Characteristics Of Labor Factor Under The Chinese Economy "New Normal"

Since1970s, China economy has been in the rapid development more than years,but affected by the impact of the international financial crisis and the economicstructure adjustment, in recent years, China’s economic growth slowed downobviously. Based on data, before the2010, economic growth rate was more than10%,but since2010, GDP average annual growth rate dropped to7%-8%. In this macrobackground, Chinese economy "new normal" concept was first presented by thechairman.Based the Chinese economy new normal background, policy guidance andlong-term growth targets, the core characteristics of Chinese economy new normal ismainly reflected in four aspects:[1] Economic growth Slowing. GDP growth ratewill change from high speed to low speed.[2] Growth mode changing. Economicgrowth mode will transform from the mode of extensive development to the mode ofintensive development and the mode of innovation driven development.[3]Economic structure transforming. In the future, industrial structure will optimizeand upgrade, proportion of the third industry will be higher, urban-rural gap will begradually narrowing; the consumption will expand, and the proportion of investmentin GDP will be further reduced.[4] The allocation of resources being morereasonable. In the future, the labor force, land, and other resources will becomescarce, which forcing the economic development to be more efficient. Based on this,this paper shows characteristics of labor factor under the Chinese economy newnormal from two aspects of supply and demand.First, this paper shows characteristics of labor factor under the Chineseeconomy new normal from the aspect of demand.[1] Although economic highgrowth rate of Chinese economy increased labor demand greatly in the long term, the overall demand of labor was still less than the overall supply of labor in the labormarket.[2] The relationship of demand and supply in labor market was in structuralimbalance and the effective supply of labor was in the structural shortage in severalaspects, such as industrial structure, regional structure, urban-rural structure, agestructure, education structure, technology structure.[3] The demand of labor wasvaried, transforming from number to number and quality.Second, this paper shows characteristics of labor factor under the Chineseeconomy new normal from the aspect of supply.[1] Population structure influencedlabor market gradually and the growth rate of total labor supply slowed down. Chinais in transition to Lewis turning point.[2] With population structure changing, laborforce became older and labor participation rate dropped. At the same time, laborforce participation rate was different, because of gender, age and region.[3] Thoughquality of the labor force continued to increase, compared with developed economies,China still needed to enhance the quality of human capital and the investment ofhuman capital.