The Influence Of Internet Develpoment On Labor Productivity Of Chinese Producer Services

In the past 30 years,China’s producer services has developed rapidly and has gradually become the backbone of China’s economic development.As an intermediate industry,producer services provide services for other industries and promote the optimization and upgrading of China’s industrial structure,which has become a new driving force for China’s high-quality economic development.Although China’s producer services has a large scale,the productivity is still low.Therefore,how to improve the productivity of the producer services has become the focus of current research.As a new technology,Internet has played an important role in promoting China’s economic development since it was introduced into China in 1990 s.The Internet has also been widely used in the producer services,optimizing service models,improving service product quality,and expanding service fields.The Internet has become a key technology for the high-quality development of China’s producer services.Therefore,it is of great significance to study the influence of the Internet on labor productivity in producer services.This paper analyzes the influence of Internet on labor productivity in producer services from the following perspectives:(1)In terms of current situation description,describe the development of China’s Internet from three aspects: basic resource construction,application level and regional differences;and describe the development of China’s producer services from three aspects: production scale,employment scale and regional differences.(2)In terms of theoretical analysis,it discusses on the mechanism of the Internet promotes the labor productivity growth in producer services from three aspects.First of all,the Internet improves the efficiency of resource allocation and promotes the innovation of producer services,which directly affects the labor productivity of producer services;Secondly,the Internet reduces transaction links,eases information asymmetry,thereby reducing transaction costs,which indirectly affects the labor productivity of producer services;Finally,the Internet has a network effect,and its impact on the labor productivity of producer services is nonlinear.(3)For empirical research,we use city panel data from 2004 to 2017 in China.First of all,this paper discusses the influence of Internet on the labor productivity of producer services from three aspects: Overall,industry and region.The results show that the Internet promotes the growth of labor productivity in China’s producer services;Secondly,using the transaction cost as an intermediary variable to test the mediation effect,the results show that the Internet can improve labor productivity in China’s producer services by reducing transaction costs;Finally,taking penetration rate of mobile phone as threshold variable,a threshold model is established to test the network effect of the Internet.The results show that when the penetration rate of mobile phone reaches 3.91,the Internet has network effect.Finally,based on the research results of this paper,recommendations are proposed from three aspects: Internet infrastructure construction,the external environment of the producer services,and the "Internet + productive service industry" strategy.