Labor markets: comparison between China and the U.S.

In recent years, college graduates in China are having more difficulties finding jobs. According to statistics, 30% graduates do not find jobs after graduation. On the other hand, factories are in need of workers. Why is this happening?

The answer is obvious. College graduates do not want jobs working at factories that pack Barbies for Americans. They believe that with a college education, they will be the one that negotiates with foreign companies that want the Barbies produced in China. However, with the number of college graduates growing exponentially, the job vacancies do not keep up. On the other hand, foreign investers have opened lots of jobs in production, and the number of workers applying is going down.

To analyze this, one should examine the makeup of the labor market. In China's situation, there is a labor market for middle class workers and there is a labor market for working class workers. The supply of workers in the middle class labor market is rising, hence the wage goes down and people are unable to find jobs. On the other hand, the supply of working class workers declines in the working class labor market as the demand continues to increase. The supply decreases because most workers are from the country, and most of these country people who wants a job in the factory in cities have already fulfilled their desires. This causes the shortage of workers in the working class labor market while a surplus or workers in the middle class labor market.

What about the U.S.? U.S. has a higher percentage of college graduates than China, yet there is no discrepancy in the labor market. This is because of the development of this country and the perception of people. First, it is perfectly acceptable and actually recommended for teenagers and college students to get working class jobs such as janitors and cashiers in the U.S., whereas in China it is seen as degrading. The U.S. is more capitalistic, so anything that will give people money and financial independence is embraced. However, in China, people care about their reputation and feels like a college student shouldn't take on those jobs. Second, in the U.S., country and city living is a choice based on personal preference, whereas in China, it is more economical and beneficial to live in Cities. This is because the country is well-developed in the U.S. due to easy transportation, openings of chain stores, and government investment (Westward movement and Manifest Destiny). In China, however, country and the west provide a worse living condition than the city and people have less opportunity to advance. The development in China in the recent year has been mostly in a few big cities, but still lags behind in the country. Lastly, the universities in the U.S. provide students services such as the career center to help student search for jobs and find the right career. Internship opportunities also offer students an idea to the kinds of jobs they will be doing for the rest of their lives. However, in China, students focus on learning mostly and neglect most aspects of career searching and developing. It is no wonder that college graduates have trouble finding the right job after college.

Several solutions are available to this situation. One, the government can invest more to develop the countryside so that it is equally acceptable to live in the country as city. This would mean develop a more connected transportation system, more independent communities (service based), and encourage real estate investment in these areas. This is reasonable because this fiscal expansionary policy will boost the GDP and continue China's growth with no worries about the increase in imports, since China is running a trade surplus of over 100 million dollars. Second, people need to change the perception that factory jobs or cashiers are more degrading jobs than office jobs. People need to realize that a temporary factory job that can get you 500 yuan a month is better than sitting at home with no income. Another solution is for college graduates to find jobs abroad. For example, the U.S. job markets need engineers and IT candidates, which China has a lot. To go along with this, foreign companies should realize that supply of cheap laborer is going down in China, and it might not be profitable to open more factorie sin China.

With China producing more college graduates, this presents a temporary imbalance in two different class labor markets in China. However, with time and possible changes presented, the markets will go back to equilibrium. The result will be a country with a higher general education level, which will improve the long run level of output due to the increase in quality of labor.


References:
https://www.cia.gov/cia/publications/factbook/geos/ch.html
汪伟，“中国大学生太多了吗”

From Hamlet to 霍元甲(Fearless)

Hamlet is perhaps the best written work by Shakespeare and one of the best in western culture. The success of Hamlet comes from the character Hamlet's indecision and a classic tragedy plot. In Hamlet, the prince Hamlet seeks revenge for his father's murder by his uncle Claudius. However, a part of his superego told him not to kill Claudius when he was repenting his sins. This indecision led to a tragedy that killed the whole family and handed the country to a foreign power. Hamlet's justification of not killing Claudius when he is praying is that killing Claudius while he is praying will send him to heaven. However, it needs serious repenting to go to heaven, and Claudius was not serious. Other reasons for Hamlet's halt might be he doesn't want to kill Claudius without being seen by others, out of pride; or he realized that the death of two kings within a short time would weaken the power of Denmark. Whatever the reason is, the events that lead to the final assassination of Claudius is the accidental murder of Polonius and the challenge from Laertes.

The story of Huo Yuanjia(Fearless) is actually somewhat similar to Hamlet despite most of the events are real. Both Yuanjia and Hamlet are from a well-known family and likes to practice martial arts. Since martial arts in China consists of challenging other big families, feuds are common. And in the one challenge to become the best in Tianjin, Yuanjia killed his opponent. This caused enmity and the son of the opposing family killed Yuanjia's mother and daughter. Without a kin, Yuanjia drowned to a little village in the country, where he finally realized that the zenith of martial arts is not beating everyone else, but conquering oneself after seven years. The ending is strikingly similar too, with a Japanese exchanged Yuanjia's tea cup with a poisoned cup after the first round of fight. Unfortunately, there is no Gertrude to drink the tea for Yuanjia, and he died after winning the fight.

The tragedies in both works are caused by failure to listen to others. For example, if Yuanjia listened to his mother and realized that martial arts is not for competition and killing, then the tragedy would not have happened to his family. Instead, it took him 7 years and the bloody lesson to learn what his mother had told him earlier.

(The blogger lost what I wrote afterwards and I lost my train of thought, so here is only partially what I thought before.)

So why do people not listen to others? A young child always listen to others. However, soon he will get conflicting comments from different people. For exmaple, what the child's parent told him might be different than what the teacher told him. Therefore, the child must discredit one of the comment and mistrust builds. Mistrust also builds when the child listens to someone else then unfavorable results happened. Afterall, he only believes in himself.

Statistically, people receive way more good suggestions from others than bad ones. I'm sure everyone can remember suggestions that lead to favorable results from friends and family members. Even strangers help others most of the time. A nice reminder "You dropped your wallet," "watch out for the car," or even "fore" on a golf course benefits you. But people remember negative experiences longer than positive ones. Although scams rarely happen, one experience can give you headaches for months. This is why people think driving is safter than air travel although million more people die from auto-related accidents than flying.

Therefore, most of the time people give good advice to others. One should "weigh and consider" the advice along with his own action plan.

Driving as an art

When hear the word "art," most people associate themselves with painting, sculptures, and music. However, few come to realize that driving is also an art.

Coming home from a family friend's lake house, I was given the task of driving back home, a two hour drive consists mostly of country roads. I have driven on highways before, but not anything more than 20 minutes. With my two years of driving experience, I no longer have to worry about controlling the car in between of car packs, but rather to enjoy driving and learn to drive as an art.

The art I'm talking about here is how to drive most satisfactorily (fast, in another word) without being caught by police. Some people think it's easy, but they might find their way frustrating at times cursing the slow driver in front of them. Others zigzag through heavy traffic only to be met by police. Still others think driving is a pain rather than enjoyment.

However, if you focus on the following things when you are driving, it will soothe your mind, save you time and trouble, as well as making driving more enjoyable. First, adjust your seat so that your feet are in a nice stretched position and the weight of your back is fully supported by the seat. Only you are in a comfortable seating position can you start compose this art. Second, once you started driving on the high way, try not to be the leader. The leader needs to pay more attention and takes more risks. You need to pick a slow enough speed that the police won't pull you over and a fast enough speed so that the cars behind you won't pass you while giving you a dirty look. However, when you are not the leader, all you need to do is to follow traffic. That way, if the police is watching, he will stop the leader rather than you. Also, you don't have to pay too much attention to the road ahead because you have a car scouting for you for free. A lot of people make the mistakes by following too close, thinking closer means more excitement and thus better art. However, this is not true because driving with the gas pedal is the main part of the art. If you are following too close, you have to use the break pedal, which wastes more gas, energy to move your feet, and increases the possibility of a crash. The art of using just the gas pedal is like a continuous function where it is differentiable at every second. Lastly, driving should be creative. You can setup your own special races to break the boredom. Would you catch up to the car in front of you that is driving 75mph when you set the cruise control at 72mph? If so, when? You'll be surprised to find out the results.

Art is the product of human creativity and imagination. So with little things in life such as driving, why can't we use our artist brain and innovate new ways to amuse us and others? This is how art is composed!