Abstract:
A research is made on the changes of regional employment in China based on industrial transfer, and the regional differences of the factors affecting employment with the provincial panel data from 1999 to 2007. It shows a β convergence of employment among China with industry transfer and labor return.Fixed investment promotes employment rate in Midwest more greatly than in East. Midwest’s FDI to GDP increases rapidly, opening degree and investment environment improves significantly, which effectively promotes employment. The proportion of tertiary industry is positively correlated with employment only in East shows that East's tertiary industry can efficiently stimulate employment, and Midwest still mainly rely on manufacturing sector. Compared to Midwest's government-driven features, East region rely more on private investment.