Influence of Economic Growth, Population and Wages on Employment of China’s Three Industries

  • Yucheng Liu
  • Guangrong Tong
Conference paper
Part of the Communications in Computer and Information Science book series (CCIS, volume 208)


This paper explored the relationship between economic growth, population, wages and employment using the economic data of China’s three industries (1978–2009). The paper analyzed the long-term equilibrium relation of the employment in the three industries through cointegration test and Granger causality test and explored the impulse responses of the employment to the structural shocks by using the SVAR (Structural Vector Autoregression) model. The results show that there exists a long-term equilibrium between employment, economic growth, population and wages and the employment in the three industries all show various degrees of responses to the structural impulses. The rise of the wages will cause negative effects to the employment and the employment elasticity in the three industries are totally different.


employment in the three industries per capita GDP economically active population wages of the employed workers SVAR model 


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Copyright information

© Springer-Verlag Berlin Heidelberg 2011

Authors and Affiliations

  • Yucheng Liu
    • 1
  • Guangrong Tong
    • 1
  1. 1.Economics and Management SchoolWuhan UniversityWuhanP.R. China

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