Study On Regional Differentiation Of Non-government Investment In China

In recent years, some economic problems such as deflation, insufficient domestic demand, overproduction, serious unemployment, unbalanced regional development and the slowness of economic growth co-exist in China. In order to solve these problems, the enlargement of investment will be the necessary choice. But the theoretical and experiential research shows that the contribution of the government investment to our country's economy is decreasing. To solve this problem has become the focus of attention of our government leaders and economists.This paper explains the conceptual and connotative meanings of non-governmental investment and analyses the necessity to enlarge the non-governmental investment. By comparing the governmental investment with the non-governmental one, the author points out the advantages of non-governmental investment in promoting the economy growth. Based on the practical data of provinces and regions throughout our country during the period from 1993 to 2001, this paper analyses some aspects of the non-governmental investment throughout our country's provinces and regions such as the sum, the scale, the professional structure, the industrial structure, the type structure, the pace of increase and the related coefficient between non-governmental investment and GDP. Then it generalizes the differences among Chinese provinces and regions in the aspects of per capita investment, growth index, the proportion of non-governmental investment in the social investment as a whole and the related coefficient between non-governmental investment and GDP. After that, the author summarizes the changes of divergences of provinces and regions during the past eight years. Finishing all these activities, the author classifies all provinces and regions of China into eight categories with obvious characteristics by adopting Hierarchical Cluster Method, which is part of the SPSS software. At last, the author examines the regulation factors thatcan influence the non-governmental investment in Chinese Mid-west region, and further, put forward some policies and suggestions to enlarge the non-governmental investment in Chinese Mid-west region.