The Technological Progress Effects of International Trade and Wage Gap - Analysis Based on Inter-Provincial Panel Data of Chinese Manufacturing Industry

The paper mainly analyzes Chinese manufacturing worker´s wage gap caused by technological progress effects of international trade in theoretical and empirical aspects. In the theoretical analysis, the technological progress effects(including demonstration effect, correlation effect and competitive effect) model has been established, the model shows that technological progress effects of international trade widen the manufacturing worker´ s wage gap. In the empirical analysis 20002008 China´s manufacturing industry panel data has been used, the conclusion supports the result of theoretical analysis. Finally, the paper presents some policy recommendations according to the above analysis and results.