Читать книгу China's Rural Labor Migration and Its Economic Development - Xiaoguang Liu - Страница 26

With reference to the practices in the previous literature, the degree of openness is measured by the ratio of the FDI and the total volume of exports–imports to GDP. The degree of openness may affect the transfer of agricultural labor through multiple channels. On the one hand, the higher the degree of openness of a region is, the more conducive to the introduction of advanced technology, the absorption of advanced management experience and the improvement of total factor productivity, thus further affecting the transfer of agricultural labor; on the other hand, China is now still at the peak of the transfer of labor, and the higher degree of openness leads to more active economic activities and a greater deepening of capital, thus promoting the transfer of labor from the agricultural sector to the non-agricultural sector. In addition, the degree of openness may also affect the transfer of agricultural labor from the perspective of factor allocation. Bentolila and Saint-Paul point out that any factor affecting the degree of imperfect market competition may affect factor allocation.²¹ As for the specific situation of the Chinese market, the FDI and the total volume of imports–exports can be used to measure the degree of competition in the product market. The strengthening of market competition will reduce the cost of the transfer of agricultural labor.