The Research On China's Industry Region Division Of Labor

The natural condition of different region in China is rather heterogeneous, for China has a vast territory. And this gives rise to the region division of labor. But during the process of its formation, there are still other factors which affect the change of region division of labor, for example, policy interference, industry development, and other factor endowment, etc. From 90s until now, accompanied with the divergence of regional economic growth in China, the region division of labor has changed dramatically and developed some characters gradually. All these cause different effects on the economic growth in different regions. The purpose of this thesis is to discover the characters of the change of region division of labor by measure the location quotient of different industries in different location. In order to recognize the changes of specialization in different province, this thesis also classifies the industries into six types in each province. The result shows that during the period from 1990 to 2003, the region division of labor between the east and other region has become more and more obvious, and the level of internal division of labor in the east is higher than that of the mid and the west. Although some provinces are becoming homogeneous in specialization, the total level of region division of labor in China is rising gradually, and the specialization is turning to up to the factor endowment and the need of industry transfer. After analyzing the change and effects of region division of labor, this thesis come up with some suggestions of policy which is helpful to harmonize the region economic growth, such as eliminating the barriers of factor flow and trade between different regions, creating convenience for the industry transfer between different regions, and enforcing the redistribution policies.