This paper studies the impact of labor mobility on comparative advantage of China’s manufacturing industries. Labor mobility refers to labor movement across regions and industries. Comparative advantage refers to better product performance in international trade in aspect of quality and price, and it can be reflected directly in export values. Industries with comparative advantage have more benefits in international trade. Firstly, this paper reviews literatures that focus on impact of labor market on comparative advantage. Secondly, this paper illustrates the mechanism of how labor mobility has impact on comparative advantage. Thirdly, the empirical analysis tests this mechanism through mixed OLS (Ordinary Least Square) regression and one-way FEM (Fixed Effects Model), using panel data of China subdivision export. The results of empirical analysis support the mechanism. Lastly, this paper reaches a conclusion that higher labor mobility has positive impact on comparative advantage in highly volatile industries, due to the fact those industries in higher labor mobility regions have stronger ability and lower cost to adjust production scale when confronted with economic shocks.
| Published in | International Journal of Business and Economics Research (Volume 7, Issue 2) |
| DOI | 10.11648/j.ijber.20180702.11 |
| Page(s) | 25-30 |
| Creative Commons |
This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited. |
| Copyright |
Copyright © The Author(s), 2018. Published by Science Publishing Group |
Labor Mobility, Comparative Advantage, Industry Volatility
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APA Style
Shuang Zhao. (2018). Impact of Labor Mobility on Comparative Advantage of Manufacturing Industries in China: Empirical Analysis. International Journal of Business and Economics Research, 7(2), 25-30. https://doi.org/10.11648/j.ijber.20180702.11
ACS Style
Shuang Zhao. Impact of Labor Mobility on Comparative Advantage of Manufacturing Industries in China: Empirical Analysis. Int. J. Bus. Econ. Res. 2018, 7(2), 25-30. doi: 10.11648/j.ijber.20180702.11
AMA Style
Shuang Zhao. Impact of Labor Mobility on Comparative Advantage of Manufacturing Industries in China: Empirical Analysis. Int J Bus Econ Res. 2018;7(2):25-30. doi: 10.11648/j.ijber.20180702.11
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Download@article{10.11648/j.ijber.20180702.11,
author = {Shuang Zhao},
title = {Impact of Labor Mobility on Comparative Advantage of Manufacturing Industries in China: Empirical Analysis},
journal = {International Journal of Business and Economics Research},
volume = {7},
number = {2},
pages = {25-30},
doi = {10.11648/j.ijber.20180702.11},
url = {https://doi.org/10.11648/j.ijber.20180702.11},
eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.ijber.20180702.11},
abstract = {This paper studies the impact of labor mobility on comparative advantage of China’s manufacturing industries. Labor mobility refers to labor movement across regions and industries. Comparative advantage refers to better product performance in international trade in aspect of quality and price, and it can be reflected directly in export values. Industries with comparative advantage have more benefits in international trade. Firstly, this paper reviews literatures that focus on impact of labor market on comparative advantage. Secondly, this paper illustrates the mechanism of how labor mobility has impact on comparative advantage. Thirdly, the empirical analysis tests this mechanism through mixed OLS (Ordinary Least Square) regression and one-way FEM (Fixed Effects Model), using panel data of China subdivision export. The results of empirical analysis support the mechanism. Lastly, this paper reaches a conclusion that higher labor mobility has positive impact on comparative advantage in highly volatile industries, due to the fact those industries in higher labor mobility regions have stronger ability and lower cost to adjust production scale when confronted with economic shocks.},
year = {2018}
}
TY - JOUR T1 - Impact of Labor Mobility on Comparative Advantage of Manufacturing Industries in China: Empirical Analysis AU - Shuang Zhao Y1 - 2018/04/28 PY - 2018 N1 - https://doi.org/10.11648/j.ijber.20180702.11 DO - 10.11648/j.ijber.20180702.11 T2 - International Journal of Business and Economics Research JF - International Journal of Business and Economics Research JO - International Journal of Business and Economics Research SP - 25 EP - 30 PB - Science Publishing Group SN - 2328-756X UR - https://doi.org/10.11648/j.ijber.20180702.11 AB - This paper studies the impact of labor mobility on comparative advantage of China’s manufacturing industries. Labor mobility refers to labor movement across regions and industries. Comparative advantage refers to better product performance in international trade in aspect of quality and price, and it can be reflected directly in export values. Industries with comparative advantage have more benefits in international trade. Firstly, this paper reviews literatures that focus on impact of labor market on comparative advantage. Secondly, this paper illustrates the mechanism of how labor mobility has impact on comparative advantage. Thirdly, the empirical analysis tests this mechanism through mixed OLS (Ordinary Least Square) regression and one-way FEM (Fixed Effects Model), using panel data of China subdivision export. The results of empirical analysis support the mechanism. Lastly, this paper reaches a conclusion that higher labor mobility has positive impact on comparative advantage in highly volatile industries, due to the fact those industries in higher labor mobility regions have stronger ability and lower cost to adjust production scale when confronted with economic shocks. VL - 7 IS - 2 ER -
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