Research On Employment Mechanism Effect And Countermeasures Of Artificial Intelligence On Service Industry

The substitution effect and compensation effect produced by Artificial Intelligence technology have led to the transformation of economic structure and major changes in the way of production and life,but also brought many social problems.People worry that the large-scale application of Artificial Intelligence will replace jobs,resulting in a certain scale of unemployment.At present,China is in the transition period of economic growth and the critical period for the rapid development of Artificial Intelligence.Under the impact of COVID-19,social conflicts such as employment have become prominent.Studying the internal mechanism of the effect of Artificial Intelligence on employment in service industry is helpful to scientifically judge the employment status,problems and development trend of Service industry in China.To prepare for the possible negative impact of Artificial Intelligence technology on the employment and society of China’s service industry in advance,and provide a certain reference for the government to promote employment in the service industry,optimize the structure of the service industry,and alleviate social conflicts.Based on the above background,according to "Kuznets Law","Service economy theory" and other relevant theories,this paper expands and establishes multiple models based on C-D production function,taking China’s provincial panel data from 2003 to 2017 as samples.This paper tests the influence of Artificial Intelligence technology,service industry structure upgrading,and the interaction between Artificial Intelligence technology and service industry structure upgrading on service industry employment,and empirically analyzes and verifies hypotheses through the interaction effect model.In addition,due to the unbalanced regional economic development in China,the impact of Artificial Intelligence technology on service industry employment in different regions of China is also different.Therefore,this paper divides the sample data according to regions and carries out regression analysis on the eastern,western and middle regions respectively.Finally,by calculating the proportion of added value and employment of each industry in China’s service industry,the development trend of employment structure in the service industry and the potential of different industries to absorb labor force are discussed.The empirical results of this paper show that :(1)AI technology has a two-way effect on the overall service industry employment in China;(2)The upgrading of the service industry structure further enhances the employment absorption capacity of the service industry;(3)The improvement of workers’ skill level can promote the growth of employment in the service industry;(4)The impact of AI on employment in service industries is regional heterogeneity;(5)Artificial Intelligence technology affects the employment structure of China’s service industry.The employment proportion of traditional service industry shows a declining trend,while that of modern service industry keeps rising.As far as the future is concerned,the employment composition of modern service industry still has great room for growth,and the employment of these industries still has great absorption potential in the future.At the end of this paper,according to the research results and the actual situation in China,the following policy suggestions are put forward :(1)Enterprises continue to increase the investment in scientific and technological research and development to improve production efficiency;(2)Strengthen investment in vocational training and education for employed personnel and improve the unemployment security mechanism and re-employment service system;(3)Scientifically plan the spatial distribution of the service industry and guide the coordinated development of the service industry in the eastern,central and western regions;(4)Actively develop modern service industry;The innovation of this paper is as follows: First,based on many previous theoretical studies,an empirical analysis framework is constructed,and hierarchical regression method is introduced to expand the employment model to study the impact of Artificial Intelligence technology on employment in China’s service industry.The second is to focus on the regional heterogeneity characteristics of Artificial Intelligence technology and the impact of different subsectors of the service industry,specifically and systematically study the regional heterogeneity and industry heterogeneity of Artificial Intelligence technology on the employment of the service industry,so as to provide some reference for the government to formulate reasonable employment policies.