The Role Of Land On The Analysis Of Economic Growth Based On The Yangtze River Delta's Panel Data

Land is a carrier for human's survival and development. At the same time it is the essential foundational factor for economic growth. Many classical economists had analysed the relationship between land and economic growth.William Petty said that "Land is the mother of wealth".Adam Smith deemed land as one of the three major factors of supporting economic growth.Ricardo and other further emphasized the role of land to economic growth.But economists hardly mentioned the role of the land,researching the economic growth theory,since Solow later.This paper aims to regain land's important role to economic growth. The study is limited to non-farm areas. The construction land, representing the land, is used to analyze the contribution to non-agricultural output.The paper built an economic growth model, in which construction land is an endogenous factor. At the base of the model, we use the Yangtze River Delta's panel data, including shanghai, jiangsu, zhejiang, from 1984～2008 to do empirical analyses, estimating the contribution rate to economic growth. At last some policy recommendations was proposed.