A Study On The Development Of County-level Economy In Shanxi Province

With the rapid development of global economy and the integration of Chinese economy into globalization, regional integration in domestic economy is being accelerated as well. As combined market comes up, and factors of production are circulated in such a quick way, the time and space is greatly shortened in resources distribution. Under the circumstances, economic development and quality in a county depend on the whole region. With the coming of Chinese industrialization and social development into a new level and a new history, county-based economy plays a key role in national economy. Meanwhile, county-based economy is presented to unprecedented challenges as well.County-based economy is regional, relatively independent and integrated with countytowns as a centre, townships as a tie and villages as a hinterland, involving production, distribution, consumption, allocation as well as the primary, secondary and tertiary industries, besides, industrialization, commercialization, urbanization and modernization being its object. County-based economy is affiliated to national economy, featuring integration, regionalization, divergence, openness and independence.The theory of county-based economy is to comprehend, refine and summarize all the regularities in its development, mainly containing classification, structure, competition, fundamental features and strategy,all of which will be favorable for scientific guidance in the development of county-based economy.By means of analysis in the level of development of Shanxi Province, conclusions are reached as follows: as a result of particularity in resources and its current level of development, counties with strong economy are normally characterized by higher level of industrialization, while counties with higher ratio of tertiary industry are considered poverty-stricken. Secondly, urbanization at county-town level is higher than at county level in Shanxi Province, which is one of the significant factor to push forward economic development. Finally, it sticks out that development of county-based economy is not in line with that of society.Through indicators related to county-based economy in Shanxi Province from 2000 to 2006, integrated with location, resources, structure and infrastructure, quantification analysis is carried out in roles and contribution of such factors as followings: human resources, industrial setup, infrastructure, coal, location of Datong-Yuncheng Expressway and Huanghe River as well as scientific management. The analysis suggests that the mode of extensive growth dominated by investment brings about the increase of county-based economy in Shanxi Province. In the respect of raise of county-based economy, human resources and structure adjustment play an important role, meanwhile, infrastructure is working, on the contrary, scientific management contributes nothing; the location of Datong-Yuncheng Expressway is advantageous, however, the location of Huanghe River is not; coal plays a far less important role than investment, manpower, industrial setup, infrastructure and location of Datong-Yuncheng Expressway, which is quite different from the common knowledge of people.On the basis of analysis in development degree of county-based economy and factors of economic increase, together with successful pattern, the paper puts forward proposal that the prerequisite to speed up development of county-based economy in Shanxi Province is whether the conditions are fulfilled as follows: problems relying on coal should be solved; integrated management should be strengthened; the leading role of infrastructure should be performed; industrial structure should be adjusted to update industrialization; all-out development of economy and society should be coordinated. In addition, economic zones around Datong-Yuncheng Expressway should be built up; the radiation role of Taiyuan and Changzhi should be promoted; Taiyuan economic zone should be established for a city complex around Shangdang; efforts should be made for expanding tourism resources, and areas of coarse cereals should be rearranged, in this way, to formulate unique tourism industry and coarse-cereals economic zones; eventually, advice is granted in the aspects of system reform, funds raise, investment in science and technology as well as talents.The innovation of this paper mainly focuses on four aspects as follows: firstly, with the aid of the second economic survey generated in 2006, general indices of social development in a county are discussed on trial so as to supply more scientific basis for better analysis in coordination of economic and social development. Secondly, based on the reality of county-based development in Shanxi Province, the indicators of county-based economy ranging from 2000 to 2006, location as well as resources, inner regularity in economic growth is analyzed in terms of time, space and speed; moreover, roles and contribution of all factors are quantified more scientifically, which plays an active role for acceleration to work out strategy and policy of county-based economic development. Thirdly, after repeated demonstration, more systematic and reasonable conclusions are arrived at, peculiarly the analysis in two sides of the roles of coal in county-based economy as well as higher rate of tertiary industry as a symbol of poverty, all of which will definitely expedite the update of traditional conception on county-based economic development for promotion of scientific development. Fourthly, with the help of successful experience, in the ways of the province as a whole and counties themselves, suggestion is given to accelerate county-based economic development in the whole province.