Emperical Study On The Effect Of Opening Strategy To Economic Growth In Zhejiang Province

With the revolution and opening of China, Zhejiang province has made a great progress on the economy. Details said that the GDP of Zhejiang was about 12.4 billion Yuan in 1978. But the GDP had arrived at 920 billion in 2003 with the averaged annual growth rate of 13%. One year after that, GDP of Zhejiang province had reached 1000 billion. At the same time, Zhejiang province was the fourth provinces which GDP overreached 1000 billion. The other provinces are Guangdong, Jiangshu and Shandong province. Foreign trade volume of Zhejiang province was 0.11 billion dollars in 1979, but at the end of 2003, it reached at 61.4 billion dollars. The averaged annual growth rate during the period was 31.1%. In 1985, The Foreign Direct Investment (FDI) was about $16 million, and it was $5449 million in 2003, the averaged annual growth rate during the period was 49.8%. A question appears: is there any long-term, stationary, and equilibrium relationship between opening strategy and Zhejiang's economical growth? If this relationship exists,...