On The Meaning, Mechanism And Evaluation Of Coordinative Development Of Interregional Economy

Coordinative Development of Interregional Economy (CDIE for short) is the precondition of sustainable and efficient development of economy in China. Thought some intriguing results in this field have been achieved, further studies still are needed. The significance of this study lies in providing theoretical principle for setting relative economical rules with systemically exploring the meaning, mechanism, the evaluation standard, and the quantitative method of CDIE.Based on reviewing the current literature, this thesis probes into the meaning of CDIE according to the original meaning of"coordination", Theory of Interregional Interdependence, Theory of Systemic, and Theory of Territorial Division of Labor, and then, closely centered around the four"marks"of CDIE, discusses the market mechanism, the microstructure mechanism, the spatial organization mechanism, the evaluation standard, and the quantitative method of CDIE mainly with metering method and GIS mapping technology. It finally carries out a positive analysis of them by taking for example developed and developing regions in China.This thesis is in eight chapters: a general introduction, six main-body parts and a conclusion. The general introduction gives the research background with the theoretical significance and the practical value of CDIE, and reviews the current literature relevant to this project. With the deficiencies of previous studies brought to light, it pinpoints the content of this paper, its train of thought, the technical course and the main method.Chapter Two explores the meaning of CDIE, which is the precondition of analyzing relative problems of CDIE. This paper gives a definition of CDIE, namely, a process and a situation in which different regions are mutually open, the economical interaction is increasing close, the territorial division of labor tends to be reasonable, the regional economy maintains highly efficient growth, the economical difference between regions can be limited in a moderate and reasonable scope and shortened gradually, and the aim is to get a positive promotion and virtuous interaction between regional economies, based on which the four"marks"of CDIE are brought to light, namely, economical interactions become progressively close, territorial divisions of labor tend to be reasonable, economical differences can be limited in certain scope and shortened gradually, and regional economies keep highly efficient growth. This paper also clarifies differences and relations among CDIE, Regional Economic Integration, and Sustainable Development of Regional Economy etc. Chapter three deals with the foundation on which the coordination mechanism of interregional economy takes place. Properly grasping the regional economical relationship plays an important role in understanding the mechanism of CDIE. For the sake of analyzing, the author of this paper establishes a framework of developed regions and developing regions, and restricts their conditions. The result manifests that when interregional economies are developing coordinately, the two sides can obtain some"extra"benefits simultaneity; on the contrary, when interregional economies are not developing coordinately, both sides may suffer loss, which shows that no matter which regions, CDIE is the"inner"demand for their economies'sustainable development. Therefore, with regard to any region,"coordinative development"is the best choice, from which comes the available enlightenment for exploring the motive mechanism of CDIE, in other words, CDIE is mainly motivated by its"inner"power. This paper finally pinpoints that, in terms of the impulse and the way of interregional economical coordination, there are three different and mutually related mechanisms, namely, the market mechanism, the microstructure mechanism, and the spatial organization mechanism.Chapter four explores the market mechanism of CDIE. The analysis shows that the market mediation in developed market promotes CDIE, while the market mediation in two-sector spatial market hold it. This thesis also points out that China should take to the market-oriented coordinative development road. The mechanism that the market mediation promotes CDIE rests with that, first, the free movement of goods and factors can provide high accessibility for regions, and satisfied the demand of both sides. It also closely links different regions to each other from the angle of matter product, so as to increase their interdependability. Secondly, the free movement of goods and factors makes resource to be collocated optimizedly in a more large scale. On the other hand, the mature market system can reduce the transaction cost, which makes the territorial division more reasonable. Thirdly, the free movement of population and labor, the enlargement of market room by the enterprise in developed region, and the inducement to government behavior shorten the economical difference in interregional development. Finally, the free movement of factors alters their supply-demand relationship, and changes their prices. Therefore, with the support of the supple-demand mechanism and the price mechanism, the free movement of factors benefits the both sides and improves their efficiency of economical development because of optimizedly collocated factors. A positive analysis of interregional economical development in China reveals that the market mediation goes against CDIE, for it weakens the interregional economical relation, lowers the rationality of interregional division of labor, enlarges the interregional economical difference, and reduces the efficiency of regional economical development, because of the undeveloped market mechanism in China, the market division between regions in some degree, as well as the notable spatial difference of the regional marketization degree.Chapter Five discusses the microstructure mechanism of CDIE. Enterprise is the subject of regional economy under market condition. The effect that market exerts on CDIE is manifested in interregional activities of enterprise in the narrow sense. The results reveal that, enterprise's interregional expansion can intensify the economical relationship between regions by breaking through administration barrier, reducing the cost of territorial division, increasing the mutual benefit of regions, and promoting the construction of unifying market. In addition, it helps reach the reasonable territorial division by making resource to be collocated optimizedly in a more large scale, and promoting industrial structure adjustment. The enterprise's interregional expansion also helps shorten the economical difference between developed regions and developing regions, because it can increase the investment of developing regions, enhance the efficient utilization percentage of present capital, and stimulates its rule evolution to achieve advantage of backwardness. Besides, it helps gain Win-Win for regional development between regions, and make resource to be collocated optimizedly to improves the efficiency of interregional economical development. Based on the positive analysis of interregional expansion of industrial listed companies in the developed region of Guangdong province and the developing region of Hubei province, this paper claims that the cause for interregional expansion of the developed region and the developing region is complex, the aim of it is to pursue market maximization in modern period, the means for it is the production-marketing integration oriented, and the way of it is to chiefly construct the wholly-owned subsidiary. With regard to the choice of expansion, it is characterized by contagious diffusion and hierarchical diffusion. The paper also manifests that the enterprise's interregional expansion can impulse the coordinative development between the developed region and the developing region, for it intensifies the relationship between regions, makes the territorial division reasonable, shortens economical differences between regions, and promotes the efficiency of interregional economical development.Chapter Six probes into the spatial organization mechanism of CDIE. Regional development is the process of constructing regional and interregional spatial structure. It manifests that regional development promotes the economical coordination between regions. (1) With cultivating the"point" and"axis"in regional development, as well as improving the supplementability and the accessibility between regions, and increasing the ability of reciprocal demand and supply, the regional exploration intensifies the economical relation between regions, (2) The regional exploration promotes the reasonalization of territorial division through reducing the division cost between regions and boosting the comparative advantage, (3) The regional exploration shortens the economical difference between regions, because on the hand, the economical strength of the"point"and the construction of the"axis"stimulate the economical development in the developing regions, because it can make the"point"to be a high-grade"joint"that receives the advanced knowledge and technical diffusion from the developed region, as well as a"hot"region that carries on the spatial expansion of enterprise in the developed region. On the other hand, cultivating"point"can reduce the difference between the rural and the urban, which is the important way of shortening the economical differences between regions, by means of improving the ability of rural labor transfer, expanding the room for the transfer, and lowering the barrier caused by the transfer law. In addition, it can promote the rural labor transfer, and speed the urbanization of the developing region, (4) Enhancing the efficiency of the interregional economical development can be realized by magnifying congregate effect and expanding the point, line as well as plane. The paper finally discusses the mode and the effect of the regional exploration in China.Chapter Seven investigates the evaluation index, the evaluation standard, and the quantitative method of CDIE, which helps to see whether the interregional economical development is coordinative or not. With a powerful argument centered around the four"marks"of CDIE , the paper establishes the three guidelines for evaluating CDIE, namely, the degree of regional economic integration, the degree of regional development disparity (within a certain limit), and the speed of regional economic growth. The three indispensable guidelines supplement and depend on each other. It then explores the quantitative method of above guidelines. (1) Considering regional economic integration is essentially market integration, the author of this paper chooses the latter to measure the former. After an analysis of the current methods, the price relative mean-variance is chosen. (2) With Gini coefficient as measurement of the economical difference between regions, the article discusses the line of difference. The final line is drawn as 0.45 when using GDP per capita,and 0.40 when using per capita income. (3) GDP rate of increment is used for the speed of regional economical development. (4) Drawn upon the above evaluation index and evaluation standard, the situation of CDIE, in China, between the developed region (east littoral region) and the developing region (Midwest region) is positively discussed. It shows that since the middle of 20th century, the coordination between the developed region and the developing region in China has been decreased as a whole, thought it experiences many twists and turns. Especially after 1994, the decrease is more obvious, the cause for which lies in the continuous expansion of difference between regions, and the restraint arising therefrom on regional economic growth.Chapter Eight summarizes the main results of our research, and then looks into the prospects of further studies on the subject.