On the Development of Labor-intensive Industry in China

Our national economy is in metaphase of industrialization now.So the development of labor-intensive industry is of great importance for China,providing more job opportunities,increasing employees’ income,promoting economic growth potentials,and realizing social stability.The development of labor-intensive industry conforms to present comparative advantage in China,but the comparative advantage doesn’t often amount to the competitive advantage.There are still some hidden problems in labor-intensive industry,namely added value is small,labor productivity is low,and competitiveness of enterprises is weak etc.The labor-intensive industry also causes the trade conflict and makes the terms of trade worse and so on,which has negative impact on sustainable development of trade in China.The paper analyzes the above problems and explains the relations between labor-intensive industry and scientific and technological progress,capital-intensive or technology-intensive industry,and international trade as well.At last,the author think that the comparative advantage of labor-intensive industry should be transferred into competitive advantage and put forward what kind of measures should be taken by the government and enterprises respectively from different point of views.