A Study On The Influence Of Labor Market Distortion To The Export Trade Of Enterprises

Because of the effect of long-term Command Economy, there are many distortions in elements’ price, especially the distortion of labors’ price in C hina. This distortion driving down the price of labor factor, reduce the labor costs of enterprises, making C hina’s export enterprises able to find a place in the international competitive market. Based on the summary of the relevant literature, this article will start a research on the export behavior of Chinese enterprises from the perspective of the serious distortions in the labor factor market.This article elaborated influences from the labor factor price distortions on the decisions obout the export of China’s enterprises both from the theoretical and empirical aspects. First, the beginning is the description on the source of the expression, background and significance of the issue and point out the economic and social background of this paper. And explain the significance of the research on this topic. Which also includes the components of research content, methods and innovations, elaborated the details to be studied. Then supplemented by a variety of testing methods and empirical models. Second is the literature review based on a large number of the relevant literatures. The descriptions on the labor factor market distortions and export trade are both divided into the domestic and foreign literature summary, and then give a summary later. Again, that is the core part of this study. This section includes two components. The first link is the part of theoretical description, including the status and causes of the distortions in labor factor market and the factors which affect the export of enterprises. The second aspect is the empirical analysis section, respectively, using C-D Production Function Analysis, Multiple Regression Analysis and the VAR Model to analysis the distorsion resistance of labor factor price, factors which affect the export of enterprises and the relationship between the distortions of labor factor market and export trade. From the results of empirical analysis, the distorsion of the labor factor market can promote the export behavior of Chinese enterprises to some extent. Finally, give suggestions to improve our labor market, and improving the effectiveness of exports based on the result the combination of the first three parts of researches and analysises. Proposed research outlook at the end, lay the theoretical foundation for the sustainable development of our economy.This study consists of four parts of contents above. Aimed at analyzing the effect about labor factor prices distorting on the export of C hina’s trade practices from the analysis of the current situation of C hinese enterprises’ export trade, starting from the angle of the distortion in labor market and combine the theoretical analysis and empirical methods. Which reveals some the problems in the process of the international trade on China’s enterprises. Then give full use to the leading role of the various elements of regulation and provide valuable reference for the further deepening of C hina’s reform and opening.