The Study About The Effect Of Service Trade’s Expanding Openness On Economic Growthin The Coastal Economic Zone From Joining WTO To Pilot Free Trade Zones

Nowadays, the service trade has a tremendous pulling effect on economic growth, many countries have paid close attention to the development of trade in services, it can be said that the development of trade in services in a certain extent determines the development of a country’s economy. Since China joined WTO in 2001, China’s total liberalization of trade in goods, manufacturing industry and slight liberalization of service trade has brought many benefits to coastal economic zone. However, since the 2008 financial crisis, the ability of China’s liberalization of trade and manufacturing industry to promote economic growth is in the fall, it is necessary to find a new economic growth point. At the same time, because of China’s long-term service trade protectionism, the product prices are very high and the quality of services is very low. Trade in service needs to be reformed urgently. To this end, the Chinese government intends to build the establishment of free trade zone to pilot service trade reform. In July 2013, by making decision, our government chosen Shanghai、Guangdong、 Tianjin and Fujian these four places to build Pilot Free Trade Zones,, opening a new chapter for China’s service trade expansion. However, we need to answer that whether China Pilot Free Trade Zone opening service trade can play a leading role in the coastal economic belt, what problems China Pilot Free Trade Zone’s service trade policy has and how to make the coastal economic belt dock with China Pilot Free Trade Zone’s service trade policy tightly. That is the objective of this article.In theoretically, firstly this paper introduces the China’s service trade policy since we join the WTO, then introduces the present situation of China’s service trade and the coastal economic zone’s economic growth and points out the China Pilot Free Trade Zone’s service trade problems, finally discusses the necessity of the wider opening of China Pilot Free Trade Zone’s service trade policy. It can be concluded that the wider opening of China Pilot Free Trade Zone’s service trade policy will inevitably bring more foreign exchange earnings, promote the division of labor, and improve the competitiveness of service industry and optimize the allocation of resources, so as to further boost the economic growth.In empirically, by building the VAR model and using cointegration test, Granger causality test, impulse response function and variance decomposition, this paper analyzes the dynamic relationship between trade service and coastal economic zone’s economic growth. According to the structure of the service trade, this paper also divides trade service into 12 industries and investigates the contribution degree of the 12 industries to coastal economic growth. Finally this paper considers the relationship of service trade and China’s coastal economic zone economic growth in 1982-2001、 2001-2008、2008-2014 three phases.Finally, this paper tries to solve the China Pilot Free Trade Zone’s service trade problems by figuring out related improvements and hopes to provide reference to the government.