The progress of China to take cost advantage of Labor

The consequences of long time free trade analysis, the impact ofcompetition in the production analysis, the agricultural policies and taxeffects analysis in recent years due to healthy economic growth hasbecome one of the most important and popular issues for policy makersand economists. In this article we have tried to analyze and articulate,cost advantage, comparative advantage, absolute advantage, the cost oflabor force etc. and also numerical examples with different assumptionsare described to explain China’s status with a view to global free trade.Additionally we explain annual minimum wage increase policy in thiscountry and how it will be according to the market situation and globaltrade issues and at the end we discuss about China’s labor costadvantage and its comparative advantage compared to other countries,especially America

Keywords:

Cost advantage , Cheap labor , China's rise , The World TradeOrganization