Research On The Productivity Effect Of China's Industrial Sector Outsourcing

With the development of economic globalization and the change of production structure,international outsourcing with the main feature of the import of intermediate products has development rapidly.With the development of the economy,Chinese companies have also begun to focus on the internal industry relations and strengthen regional agglomeration to enhance the level of domestic production.Whether it is offshore or onshore,it will inevitably have a certain impact on China's economy and society.The study of international outsourcing is conducive to providing a basis for the formulation of China's industrial development policy.The academic community has made certain achievements in the research on the impact of offshore outsourcing with China as thecontractor.In comparison,the qualitative and quantitative analysis of onshore outsourcing is still relatively lacking.Based on the existing research,this paper takes China's industrial industry as the research object,and studies the impact of international outsourcing on the total factor productivity and its decomposition variables and innovation ability of China's industrial industry from the perspective of offshore outsourcing and onshore outsourcing.In theory,the mechanism and ways of international outsourcing affecting productivity are multi-faceted.International outsourcing affects the TFP of China's industrial industry through comparative advantage effect,labor skill reorganization effect,technology spillover effect,learning externality effect and diversity effect.At the same time,outsourcing can also affect the innovation ability of China's industrial industry through the technology spillover effect of imports,the technology spillover effect of exports and the pure knowledge spillover effect.In terms of empirical research,focus on the productivity effect of international outsourcing,based on the DEA-Malmquist index method to measure the TFP and its decomposition variables of China's industrial industry,control variables and use panel models to analyze the productivity effect of international outsourcing and its industry heterogeneity.The study found that offshoring has a positive effect on thegrowth of TFP in the industrial sector,and this positive promotion is mainly achieved through international outsourcing to promote technological advancement,while onshore outsourcing has the opposite effect.International outsourcing is more significant in industries with low technology intensity,low openness,or small scale.In addition,using the number of invention patents as a measure to measure the technological innovation capability of China's industrial sector,the panel model is used to quantitatively analyze the impact of international outsourcing on the innovation capability of the industrial sector and its industry heterogeneity.The research results show that offshore outsourcing has a significant inhibitory effect on the innovation capability of China's industrial industry.Onshore outsourcing has a significant role in promoting the innovation capability of China's industrial industry,and shows significant differences in different industrial levels,different degrees of openness and industrial scales.Based on the above research,the paper proposes several related policy recommendations.This paper believes that Chinese enterprises should base themselves on the development basis,industry characteristics and realistic foundation of China's international outsourcing,and strive to fully integrate global resources through offshoring outsourcing and onshore outsourcing,while getting rid of the traditional development model which is based on low cost,and improve the overall factorproductivity continuously.