Abstract:

In his wage theory, Marx scientifically revealed the law of labor value, discussing the influence of labor value, labor supply and demand, and labor-capital relations on wages and their interconnections. Building on this theoretical framework, this article uses relevant statistical data to depict the real dynamics of wage movements in China in the new era, and concludes that the law of labor value provides a strong explanation for China's wage dynamics. Based on this, a simultaneous equation model is constructed to empirically examine the determinants of wage movements in China. The findings show that labor value, labor supply and demand, and labor-capital relations all exert significant impacts on wages. Among them, labor value explains about 50% of wage variation. Labor supply and demand, measured by the unemployment rate, contributes to downward wage pressures to some extent. Meanwhile, labor disputes and recourse to third-party arbitration have become effective short–term mechanisms for Chinese workers to safeguard their interests. Therefore, improving workers' wage levels requires coordinated efforts across multiple dimensions and systematic policy measures.

Key words:

labor-force value, wages, labor-capital relations, labor supply and demand, the need for a better life