The analysis of China's trade in services and its influencing factors: Based on grey incidence analysis

Since China's accession to WTO at the end of 2001, its trade in services has developed rapidly. Services in trade will definitely become the trend of international trades. By statistics from 2002 to 2007, this paper studied influencing factors of China's trade in services. By establishing the grey incidence analysis model, the paper studied the degree of incidence between two sequences of system's characteristic behaviors and five behavioral sequences of relevant factors. The results turned out openning-up degree of service market and foreign direct investment (FDI) are the main factors. At the end of the paper, it explained reasons of the results and puts forward the suggestions of trade in services in China.