Do The Three Regional Policies Improve Total Factor Productivity?

Since the reform and opening up,the Chinese government has implemented the unbalanced development strategy of "giving first place to the rich and driving the rich".While the unbalanced development strategy is promoting our country's economic development,it has resulted in the widening income gap between China's regions and the imbalance of industrial development.In order to coordinate and balance the development of all aspects,reduce the economic gap between the regions and stabilize the social factors,China has put forward regional policies on different regions in different periods-in 2000,the strategy of "western development" was put forward.In 2003,the strategy of "revitalizing the old industry of Northeast China" was put forward In 2003,we proposed the strategy of "rising in the middle part",and implemented in 2006.In this paper,we use the 1998-2007 year Chinese industrial enterprise database to build a measurement model and use the DID(difference –in-difference)method to estimate the impact of the three strategies on economic growth.This paper first estimates the results of the benchmark model,and finds that the "western development" and "the revitalization of the old industry in the northeast" have a negative increase in economic growth,and the "rise of the middle part" has a role in promoting the growth of the economy.After introducing other control variables and separate regression,the direction of coefficient does not change,so the result is robust.After the introduction of different regional policy virtual variables on the basis of the benchmark model and the intersection of the years,it is found that the "western development" strategy and the "northeast old industry revitalization" strategy have experienced the J curve effect.But the strategy of "rising in Central China" has no such a process.Then the algorithm of the time section and the total factor productivity were replaced respectively to carry out the robustness test.The results show that only the "rise of the middle" strategy is a significant increase in the total factor productivity,and the other regional policies have reduced the total factor productivity.Finally,heterogeneity analysis and mechanism analysis illustrate how the three regional policies have an impact on economic growth.The results all point out that regional policy has a positive effect on economic growth in the central region,but negative impact on the economic growth of the western and northeast regions.