How Large Is China’s Rural Surplus Labor Force?

MA Xiaohe1( 马晓河 ) and MA Jianlei2( 马建蕾 )
1 Academy of Macroeconomic Research, National Development and Reform Commission
2 School of Agricultureal Economics and Rural Development, Renmin University of China

Editorial note:

In the last 30 years, China has witnessed a massive transfer of its rural surplus labor to the industrial sector, making labor-intensive industries more competitive, giving China its nickname “factory of the world”. However, are labor supplies infinite? Is China’s advantage of low cost labor sustainable? The authors of this paper give forth some preliminary answers to these questions.

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