Research On The Relationship Between Urbanization And Poverty Reduction Under The Condition Of Open Economy

Opening-up and urbanization are the two major engines of China's economic development.The "One Belt And One Road" initiative and the new urbanization construction have injected new vitality into China's economic development.Since the 1990s,China has effectively driven the economic development of poor areas through the implementation of the strategy of opening up to the outside world and urbanization,which are becoming important ways to achieve poverty reduction.And the effect of poverty reduction has become prominent.International experience shows that opening-up and urbanization can play a cross-cutting role in poverty reduction.China has not done enough research on this issue and has not paid much attention to it.In the next step,it is necessary to take this into special consideration in formulating relevant policies for foreign trade,foreign capital and urban development.Therefore,it is necessary to study the respective roles of opening-up and urbanization in poverty reduction and give full play to their interaction and synergy in poverty reduction.The establishment of a "two-wheel drive"poverty reduction strategy led by opening-up and urbanization is of practical significance and reference value for the realization of the goal proposed by the CPC central committee of "ensuring poverty alleviation of rural poor under China's current standards by 2020".There have been many studies on the effects of opening-up and urbanization on poverty reduction,respectively.However,due to differences in statistical caliber and measurement methods,there is no unified conclusion on the effects of urbanization and opening-up in poverty reduction.Existing researches mainly focus on the relationship between opening-up and urbanization,urbanization and poverty reduction,and opening-up and poverty reduction,and rarely integrate the three factors into the comprehensive analysis under the unified framework.Therefore,this paper mainly explores the impact of the synergy of opening-up and urbanization on poverty reduction.This paper summarizes the impact mechanism of urbanization and poverty reduction under the conditions of opening-up through the means of economic growth,fiscal expenditure,labor market and industrial restructuring.The theoretical model was established,and the empirical test was carried out with the world country data of 109 countries for 27 years and the domestic regional data of 27 provinces for 18 years.The promotion effect of urbanization and opening up on poverty reduction was found,as well as the synergistic effect of the two in poverty reduction.Based on the empirical results and the successful experience of foreign countries,the paper puts forward some suggestions,such as reasonable development of urbanization,improvement of the quality of opening to the outside world and emphasis on the coordinated development of opening to the outside world and urbanization,which are hoping to achieve a better poverty reduction effect under the synergy of opening to the outside world and urbanizationThis paper is divided into ten chapters,the specific arrangement is as follows:Chapter one is the introduction.It mainly introduces the background of topic selection and expounds the research significance of the paper.In addition it briefly summarizes the research ideas,basic framework,research methods,main innovation points and shortcomings of the paper.The second chapter is literature review.This chapter systematically combs the relevant research literature at home and abroad.The regular research conclusions were found out and objective evaluations were made from the five aspects of poverty and poverty reduction,new urbanization and the transformation of urban and rural structure,the impact of opening-up on urbanization,the impact mechanism of urbanization and poverty reduction,and the impact mechanism of opening-up and urbanization on poverty reduction.Chapter three is the theoretical basis of the impact of opening-up and urbanization on poverty reduction.This chapter mainly sorts out and analyzes the relevant theories involved in this paper,including the theory of urbanization mechanism,the theory of poverty and poverty reduction,the theory of the relationship between opening-up and poverty reduction,and the theory of the relationship between urbanization and poverty reduction.So as to theoretical basis and logical starting point can be provided for this study.The fourth chapter is the influence mechanism of urbanization and poverty reduction under the condition of open economy.This chapter mainly analyzes from the five aspects of economic growth approach,fiscal expenditure approach,labor market approach,industrial structure adjustment approach and the synergies between opening-up and urbanization.And it systematically explores the mechanism of the impact of opening-up and urbanization on poverty reduction.Chapter five is the theoretical model of the impact of opening-up and urbanization on poverty reduction.On the basis of sorting out the relationship between urbanization and poverty reduction under closed economyconditions,Panudulkitti(2008).This chapter innovativelyexpands it.The relationship models of trade,urbanization and poverty reduction under the condition of open economy are established respectively,as well as the cross-synergy models of foreign capital utilization,urbanization and poverty reduction.Chapter six is the current situation of China's opening-up,urbanization and poverty reduction.This chapter analyzes the status quo of China's opening-up,poverty and urbanization.The study found that China's opening to the outside world,urbanization and poverty changes have a certain correlation.East,central and western regions have a large difference in the degree of opening to the outside world,urbanization rate and poverty degree.These analyses provide a realistic basis for studying how to make full use of the synergy between foreign trade and urbanization to reduce poverty.Chapter 7 is an empirical analysis of the relationship between opening-up,urbanization and poverty reduction based on transnational data.Data of 109 countries(regions)in the world from 1990 to 2016 were used to empirically test the compound relationship between foreign trade,utilization of foreign capital,urbanization and poverty reduction.And then we can find international empirical evidence based on the relationship between urbanization and poverty reduction under the condition of open economy.Chapter 8 is an empirical analysis of the relationship between opening-up,urbanization and poverty reduction based on inter-provincial panel data.The inter-provincial panel data of 27 provinces in China for 18 years were used to empirically study the compound relationship between foreign trade,utilization of foreign capital,urbanization and poverty reduction.And then we can find domestic empirical evidence of the relationship between urbanization and poverty reduction under the condition of open economy.Chapter 9 is the international practice and experience of opening-up,urbanization and poverty reduction.This chapter makes an international comparative analysis from the perspectives of different regions and countries with different income levels on the relevant experiences of opening-up,urbanization and poverty reduction.Developed countries and emerging market countries in Europe and America were selected as research objects to analyze the impact of urbanization on poverty reduction according to the classification of poverty reduction effects.The lessons and successful experience of international urbanization and poverty reduction can provide an empirical basis for China's relevant policy formulation.Chapter 10 is research conclusions and policy recommendations.This chapter summarizes the previous empirical analysis conclusions,combines the theoretical model and influence mechanism of urbanization and poverty reduction,and draws lessons from the successful experience of urbanization and poverty reduction in foreign countries,and puts forward policy Suggestions to give full play to the synergistic effect of foreign trade and urbanization to promote poverty reduction.The main conclusions of this study are:First,moderate urbanization is conducive to poverty reduction.There is an inverted u-shaped relationship between the incidence of poverty and the urbanization rate.That is,when the optimal urbanization level is not reached,urbanization is conducive to improving the per capita income level of urban and rural areas,narrowing the urban-rural income gap and reducing urban and rural poverty.If the urbanization rate is higher than a certain level,it will lead to the increase of poverty incidence.Therefore,the scale and speed of urbanization development should be different in different regions.We should not only emphasize the expansion of urban scale,but also attach importance to rural revitalization and beautiful rural construction,and give full consideration to the economic and industrial development of the region and the bearing capacity of resources.Second,international experience shows that opening-up is conducive to poverty reduction,but China still has much room for improvement.Empirical analysis based on transnational panel data shows that export,import and FDI all have positive effects on poverty reduction.Some empirical analysis results based on China's provincial data also support this conclusion.However the effect of opening to the outside world on poverty reduction is not very stable and some individual indicators even show the opposite direction.This also reflects from one side the importance that our country continues to improve the quality of opening to the outside world.Third,opening-up and urbanization have a synergistic effect on poverty reduction.Both theoretical model derivation and empirical analysis show that opening-up and urbanization play a good synergistic role in promoting income growth.And the poverty reduction effect of urbanization is more obvious in regions with a good foundation of opening-up.It suggests us that how to make better use of the synergy between opening-up and urbanization in promoting income growth,and how to promote the organic integration of foreign investment and foreign trade with the development of real economy and modern service industry in cities and towns is the question that the government should focus on when formulating relevant policies in the next step.The innovation of this research is mainly reflected in the following three aspects:First,perspective innovation.The existing achievements either study the impact of urbanization on poverty reduction or study the poverty reduction effect of opening to the outside world.In this paper,opening to the outside world and urbanization are integrated into the same framework to systematically study the impact of their synergy on poverty reduction.Second,content innovation.This paper gets rid of the existing one-sided research on poverty reduction based on certain factors.The econometric model established systematically discusses the mechanism and countermeasures of urbanization and poverty reduction under the condition of open economy from the aspects of income level,income gap,foreign trade and utilization of foreign capital.Third,method innovation.In this paper,systematic modeling,quantitative analysis,comprehensive evaluation and other methods are used to study how to build a systematic model of urbanization and poverty reduction under the condition of open economy.Itstrives to minimize the deviation between policy design goals and actual effectiveness.