Study On The Impact Of China’s Outward Foreign Direct Investment On Domestic Employment Structure

At present,China’s labour market is facing serious employment structural contradiction,employment absorption capacity varies between different sectors and the skill level of workforce is low.At the same time,China’s OFDI is booming,China gradually becomes one of the world’s largest foreign investors.In the context of the prominent structural contradiction of employment and the vigorous development of OFDI,the purpose of this thesis is to study the concrete role of China’s OFDI on domestic employment structure,find out how the OFDI affects domestic employment structure,and whether employment structure is optimized or deteriorated,which contributes to guiding OFDI on the one hand and contributes to alleviating the domestic employment structural contradiction on the other hand.At the beginning,this thesis summarizes the existent researching files of academics at home and abroad and finds that most of the previous researches have examined the impact of foreign direct investment on home country employment from the perspective of employment scale,most of the studies on domestic employment structure were simply based on previous researches on scale effect but lacked systematic theoretical model and mechanism analysis.Therefore this thesis studies the impact of OFDI on employment structure from both sector structure and skill structure and constructs an analytical framework through the following three aspects:introduce relevant theories;and expounds the influence mechanism of OFDI on domestic employment structure and constructs a theoretical model of the influence of OFDI on employment structure.Then this thesis analyzes the factual characteristics of OFDI and employment structure in order to understand the features of OFDI and employment structure.Then,this thesis uses the provincial panel data to study the impact of China’s outward direct investment on domestic sector structure and skill structure respectively as well as the time and regional differences of this impact,and constructs a mechanism test model to test the influence mechanism of OFDI on employment structure.Finally,the findings of this thesis are summarized,and suggestions are put forward on this basis.The main findings of this thesis are as follows: China’s OFDI can promote the domestic sector structure and skill structure of employment.OFDI has significant positive effect on the sector and skill structure of employment since 2008,it has no significant effect on the sector structure before 2008,but it significantly deterioratesthe skill structure of employment before 2008.In developed regions,OFDI can optimize both sector and skill structure of employment;in fairly developed regions,OFDI has no significant impact on both sector and skill structure of employment;in underdeveloped regions,OFDI can optimize sector structure of employment,but has no significant impact on skill structure.Based on this thesis,three suggestions are put forward: firstly,to continue to promote investment facilitation and liberalization to promote the healthy development of OFDI;secondly,to take advantage of the role of OFDI on the upgrading of industrial structure and technological level to optimize the improvement of employment structure in China;and finally,to adopt different OFDI strategies in regions with different economic levels.