The Impact of Labor Force on the Economy

The labor force is the core element driving economic growth. Its quantity, quality and mobility directly determine the vitality of economy. The topic of the research paper is to analyze various aspects that affect the labor force and the corresponding policies for alleviating regarding issues relating to the labor force. The research method of this paper is analyzing previous scholars research on labor force through macroeconomic concept and practical cases, and study the significance, feasibility and improvements on policies. This paper introduces and points out the characteristic structure and development of Chinese economy. Then this study analyzes the impact of quantity, quality and mobility of labor force on economy, and emphasized that the quality of the labor force, specifically the level of education, is the core factor influencing economic growth. The aim is to strengthen the understanding that labor is a significant driving force for economic growth. Based on the experiences of labor forces in various countries and combining the characteristic of Chinas labor force to provide a foundation on policy formulation. Finally, it offers a reference for other countries to solve global issues such as aging population.