Research On The Impact Of Internet Development On Employment Elasticity Of Service Industry

China has the largest population in the world.Employment as a major livelihood issues of concern,its problem is the focus of attention of policy makers and economists.For a long time,Promoting economic growth and increasing employment are policy guidelines for solving employment problems.Service industry as an industry with employment elasticity is more respected and developed.With the development of scientific and technological progress,especially the rapidly development and wide application of Internet technology.The level of automation,information,and intelligence in production continues to increase.Artificial intelligence replaces the labor force to various degrees in various fields of economic life.The impact on the service industry as a third industry should not be underestimated.This article focuses on the impact of the rapid spread of Internet technology on service employment under the background of a time when the Chinese economy has entered a marked slowdown in growth rates.If the Internet has a negative impact on the employment elasticity of the service industry,How can we deal with the problems?Based on previous studies,this paper analysis the development of service industry,the employment absorptive capacity of service industry and temporal evolutionary trends.And further explored the impact of Internet development on the service industry employment elasticity.On this basis,the theoretical analysis is made,including the development characteristics of the service industry,the employment absorption capacity of the service industry and the analysis of the spatial and temporal evolution trend.Then elaborated the Internet development connotation and the characteristic.On the basis of discussing the effect of Internet on employment elasticity of service industry.then use SPSS software using principal component analysis five typical unilaterally indexes on the Internet,Internet population,the number of sites,the total quantity of IPV4 addresses,Internet penetration,CN domain name quantity calculation analysis and characteristic vector,and then the calculation results of principal component feature vector data normalization processing,finally it is concluded that can represent their Internet overall development level of comprehensive index,called the Internet development index.After joining the per capital wage,technology innovation,human capital,industrial structure adjustment of the four indicators as control variables to construct multivariate linear regression model,based on the national 31 provinces and municipalities directly under the central government and autonomous regions in 2005-2015 panel data of national and regional regression analysis,found that the development of the Internet to the national overall and features of service sector employment elasticity are inhibition.Among them,the development of the Internet has reduced the employment elasticity of the service industry in the country,which shows that with the widespread popularization of Internet technology,the effect of the service industry on employment has begun to decline.There are some relevant recommendations.On the one hand,it is necessary to deepen the integration of the Internet and the service industry,reducing the inhibitory effect of Internet development on service industry.Aiming at the impact of various variables on the elasticity of employment in service industries in East,West,and Central China,we propose relevant solutions to local conditions.On the other hand,the development trend of the Internet is already unstoppable.The ratio of service growth to employment growth is not positive correlation anymore."Promoting growth and promoting employment" is no longer the main channel for solving employment problems,It is time to consider new ideas to solve the employment problem in the service industry,changing the labor employment system will be a viable option.