The Dual-threshold Effect of Technical Progress onEmployment in China's Industries
Liu Ming1, Liu Yulin2, Ding Congming2
1.Economics and Management Research Institute, Chongqing Municipal Party School, Chongqing 400041, China; 2.School of Public Affairs, Chongqing University, Chongqing 400044, China
Abstract:The paper estimates the total factor productivity of the industrial sector by DEA method, and analyzes the dual-threshold effect about the impact of technical progress on employment in China's industries on the basis of the threshold regression model.It concludes that the technical progress can greatly promote the employment in China's industrial sector when the level of capital deepening is relatively lower.However, with the improvement of the degree of capital deepening, the path of technical progress gradually deviates from the factor endowment structure and will reduce the employment.Based on that, all regions of the country should choose a path of technical progress which can maximize the employment.