How important are exports for job growth in China? A demand side analysis

We extend global input-output methods to analyze impact of foreign demand on Chinese employment. * During 1995-2001 increases in productivity offset growth in foreign demand so net effect on employment was nil. * Between 2001-2006 foreign demand added 70 million jobs, mainly for workers with only primary education. * Since 2006 growth in domestic demand for non-tradables has become most important source for job growth. We analyze the impact of foreign demand on Chinese employment creation by extending the global input-output methodology introduced by Johnson and Noguera (2012). We find that be... Mehr ...