Research On Urban Agglomerative Economies Of Yangtze River Delta And Pearl River Delta

Since the reform and opening up, Yangtze River Delta and Pearl River Delta have developed greatly and been ahead of all other regions in China, which is mainly due to urban agglomeration economies. Then, what are the factors that influence urban agglomerative economies in the two delta, and to what extent? How to promote agglomerative economic growth for both deltas in the future? To research these problems is meaningful, and we hope to get some answers from this research.From the perspective of industry localization and industry diversification, our research firstly explore characteristics of urban agglomerative economies of 16 cities in Yangtze River Delta and 9 cities in Pearl River Delta. And then, two multiple linear regression models are built to explore the influences of industry localization, industry diversification, some other new economic geographic factors and local factors on urban agglomerative economies in Yangtze River Delta and Pearl River Delta cities.The main conclusions are as follows. Firstly, compared to the average level of industry localization and diversification, Shanghai and three capital cities (Nanjing, Hangzhou and Guangzhou) are of low industry localization level and high diversification level. Secondly, there is not any mutually enhancing or exclusive relation between industry localization and industry diversification. Industry localization promotes agglomerative economies in delta cities, while industry diversification is a booster for urban agglomerative economies in Yangtze River Delta cities but an obstacle for Pearl River Delta cities, which indicates it is industry localization rather than diversification that promoted urban agglomerative economies of Pearl River Delta in the last decade. Thirdly, market potential, industry link and opening up have distinctively positive effects on two delta cities, while local government intervention has more negative effect on Pearl River Delta.Lastly, infrastructure construction and labor externalities have positive effects on Yangtze River Delta urban agglomerative economies, but reverse effects on Pearl River Delta, which makes the two deltas'economies develope differently. In the end, some policies and suggestions are provided for future urban agglomerative economies development in both deltas.