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The Mechanism Research of Service Trade Accelerating Economic Growth

Author: YaoXing
Tutor: YinZhongMing
School: Southwestern University of Finance and Economics
Course: International Trade
Keywords: Service trade Economic growth Technology spillover effect Human capital accumulation effect Linkage development trade in goods effect
CLC: F752.68
Type: PhD thesis
Year: 2009
Downloads: 733
Quote: 1
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“Service industry is dominating the world economy”has become the mainstream of the world economy, and the focus of global competition has shifted to the service industry progressively. Domestically, a complete service industry system has come into shape. However, China confronts more trade frictions with the deep step of the trade liberalization. It is the weighty task for Chinese government and manufactures to transform the trade and economic develop pattern, and this important transformation is closely related to the development of service trade. Therefore, it plays a great role of researching on the influencess of service trade in economic growth in improving the trade growth mode and retaining the rapid economic growth.Researches on trade and economic growth are mainly in two directions: one is devoting to research on the influence of economic growth to trade. The other direction focuses on trade and its influence on economic growth. Though common agreement has not existed, many empirical researches still show that trade promotes economic growth. Present documents rarely focus on the relation between service trade and economic growth. Therefore, this paper makes intensive analysis on the mechanism of which service trade has promoted the economic growth.This paper, on the basis of the realism of service trend in world economy and service trade development, starts with the determinant factors of a country’s economic growth, and, combining with the characteristics and modes of service trade development, analyzes the transmit scheme of the promoting effect theoretically from the point of the perspective of gross supply and demand. Besides this, this paper provides experienced data according to the data of 25 countries.This paper is divided into seven chapters, and the content of each chapter is as follow: Chapter one is introduction. This chapter concretely introduces the research background, meaning, related conception, innovating ideas and main points of view.Chapter two is the theoretical basis of service trade promoting the economic growth and documental summaries. This chapter reviews the related theory, introduces theoretical analysis of that trade promotes economic growth in economic growth theory, then discusses the applicability about theory of“trade and economic growth”; Secondly, it organizes documents of domestic and foreign scholars and makes brief comments.Chapter three is the research on the mechanism of service trade technology spillover. This chapter, on the basis of the researches of Romer(1990)、Grossman and Helpman(1991a)、Aghion and Howitt (1992),sets up a single department endogenous economic growth model driven by technological change under the open economy. It specifically discusses intrinsic mechanism through the technology spillover to promote host country’s economic growth. Moreover, it discusses the main factors which effect service trade technology spillover and the ways of technology spillover by service trade.Chapter four is the research on the mechanism of service trade accumulation of human capital. Firstly, this chapter, on the basis of the researches of Romer(1990) and Lucus(1988), establishes a single department endogenous economic growth model driven by accumulation of human capital under the open economy, and then discusses the intrinsic mechanism of service trade in human capital accumulation; Secondly, according to Arrow’s research(1962), this paper makes the technology variable endogenous in the former mode and reviews the dynamic effect of economic growth with the accumulation of substance capital、human capital and technology progress. Finally, it further discusses the ways of the effects on service trade producing human capital accumulation.Chapter five is the research on the mechanism of service trade promoting goods trade, consumption and investment. This chapter, on the basis of demand theory of economic growth, inspects all kinds of promoting economic growth factors and make a deeply analysis on the promoting effects by service trade development. When it inspects the direct promoting effects of service trade development for a country’s economic growth, this chapter mainly discusses the effects of service outsourcing for economic growth of participating country. This chapter, from the view of indirect promoting effects, inspects the positive effects of service trade development for goods trade development, domestic consumption and investment.Chapter six is the empirical analysis of service trade promoting economic growth. This chapter, in terms of the relation between total trade in service, firstly, analyzes the present long-term stable balanced relation between import and export of international service trade and economic growth by panel data model; Secondly, with the times series methods, emphasizes the dynamic interaction effects between Chinese trans-border service trade and economic growth; Thirdly, empirically inspects dynamic effects of each conduction mechanism of service trade for economic growth and their contribution degree.Chapter seven is the service trade development of China since 1978 and proposals in the new century. This chapter analyzes the development and problems of service trade in China since 1978, and put forwards to a“Two insistences and Two increases”proposal.The last part is the conclusion of this paper which is mainly about explanations and summaries of this paper. Besides, it also points out the further research directions of this thesis.

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CLC: > Economic > Trade and Economic > States foreign trade > China's foreign trade > Import and Export Trade Overview > Special trade
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