Study On The Relationship Between Services Industry And Economic Growth On The Yangtze River Delta

Since the 20th century, especially the 1950s, service industry has been developing rapidly, accounting for rising GDP globally. At present, service industry of most countries in the world accounts for more than fifty percent, providing more than half of the jobs in the whole society. "Service Economy Society" is true, because the service industry has been literally dominated the national economy, as well as the main driving force in the process of the future economic growth. In the early 21st century, as one of the economic leading regions in China, Yangtze river delta region is facing economic structure transformation. Developing service industry especially production-oriented service industry has important significance in the future economic growth and structural transformation. Therefore, service industry development and economic growth research on Yangtze River delta cause for more and more concern.As the introduction of the paper, the first chapter presents problems, then introduces research background, research significance as well as the probable innovation and insufficiency. The third chapter basically introduces service industry development and economic growth of three provinces and cities in Yangtze River delta region in general, analyzing the internal structure and international comparative study of Yangtze river delta service industry. The fourth chapter describes mechanism analysis that service industry development promotes economic growth. As part of GDP, service industry direct drives economic growth as well as through deepening division and improving the production efficiency. The fifth chapter analyzes whether service development promotes economic growth by the provincial panel data of 1978-2009 in Yangtze River delta, the result shows that services significantly promote economic growth. In addition, this paper uses panel cointegration analysis methods to study services and economie growth, the results showed that the development of service industry in the Yangize Riser delta region is the long-term causes of economic growth and that economic growth is the short-rerm reasons for developing service industry. The sixth chapter mainly summarizes in this paper, and then explains the conclusion of this paper.