Study On The Relationship Between Urbanization And Economic Growth In Jiangxi Province

Urbanization is a historical trend of the human social development from the low lever to the high, and it is also an inevitable result of social progress.Meanwhile,the development of urbanization also promotes the economic development. From the history of city development, we can see that there is a strong positive correlation between urbanization and the level of economic development.On the basis of Aggregation effect and Diffusion effect,city has integrated elements for growth,with broad market space and also helping improving the productivity of the surrounding area,so it is a space container for economic growth.Thus studying on the relations between urbanization and economic growth has an important realistic meanning.This paper makes good understanding of relationship between urbanization and economic growth,and explores the mutual interaction and the influence between urbanization and economic growth,which are conducive to local governments to take the reasonable counter measures in the process of promoting urbanization and economic growth,avoiding walking into the erroneous zone,helping provide a new idea for Jiangxi Province's economic revitalization.Understanding of relationship between urbanization and economic growth is conducive to local governments to take the reasonable countermeasures in the process of promoting urbanization and economic growth,avoiding walking into the erroneous zone.Therefore,it is necessary to explore the mutual interaction and the influence between urbanization and economic growth in Jiangxi Province,in order to give some assistance to promoting Jiangxi Province's urbanization and economic growth,and to provide a new idea for realizing the great goal of Jiangxi Province's economic rising in Central China.This paper using the method of Econometrics,applying with the data of econmic growth and urbanization from Jiangxi province,firstly summary on related literature synthesis about the urbanization and economic growth,comparatively analyzing the process of urbanization development level in Jiangxi Province, Secondly,with the time-series data on urbanization and economy of 1978-2008 years,using co-integration test, Granger causality test,error correction model,impulse response and other methods,make the dynamic econometric analysis of the relationship between urbanization and economic growth in Jiangxi Province. It was founded that there is a long-term equilibrium relationship between urbanization and economic growth in Jiangxi Province,the positive role of economic growth to urbanization is obvious stronger than the impact of urbanization on the reverse to economic growth.Economic growth is the Granger causality to urbanization.Economic growth makes great impact on urbanization,but urbanization makes time-delay impact on economic growth.The change of urbanization is intensified by GDP per capital,but weakened by itself.The change of GDP per capital is significantly stronger by itself than that by urbanization.By analyzing the status of urbanization condition in Jiangxi Province,come to the reason that why the urbanization not be able to promote regional economic growth quickly and significantly:the reverse effect of urbanization inherent structure change to economic growth has not yet fully manifested at this stage;the structural system of city is irrationality,the functional orientation of cities is ambiguous, the dustrialization need improving and etc;proper attention have not been paid to large cities, and the large cities has not played very well on conomic effects of clustering.Besides,because of the limit of land resourse,as the development of urbanization,there will be a lot of issues on land managemet,this paper also gives a summary of those issues.Finally,make a conclusion of the results of empirical analysis and combining with some related planning and Government documents,this paper provides some policy implications on how to speed up urbanization process and make economic develop more sustainably and rapidly.