The Relationship Between Advertising Industry And Macro-economy Of China

The market economy of Socialism with Chinese Characteristics is the basic power of the development of Chinese advertising industry. In the face of the increasingly competitive environment, it is really a problem that how does the Chinese advertising industry follow the steps of Chinese economy and develop itself. This article has researched the relationship between the advertising expenditures and some macro-economics indexes, such as GDP, using correlation analysis and co-integration analysis in the way of software SPSS and EViews. It can provide a valuable reference for the development of Chinese advertising industry. At the same time, it also can improve the importance of the economic effects of advertising for the whole society. Then, the economic effect of the advertising could be promoted.Through the correlation analysis, it is the positive correlation between the advertising expenditures,gross domestic product,retail sale of consumer goods,total value of imports and exports trade,total value of direct foreign investments and household consumption expenditures. There are great correlation coefficients after the annual data analysis. But by the analysis of the province data, the correlation coefficients are weak. Totally speaking, the correlation is strong between the advertising expenditures and some indexes, like GDP. Through the co-integration analysis, there are two influence factors of the advertising industry: the direct foreign investments and the exports trade. At the same time, the advertising industry is also the influence factor of the household consumption expenditures and the retail sale of consumer goods. There is a long-term stabilized relationship between the direct foreign investments, the exports trade and the advertising expenditures. As the growing of the direct foreign investments, the advertising industry will be developing further and its expenditures also will be increasing. There is a hysteretic nature that the export trade promotes the advertising development. In short order, the export trade and the import trade promote the advertising industry together. When the direct foreign investment and the export trade deviate from the long-term stabilized relationship, it is slowly adjusted from the disequilibrium relationship to long-term stabilized relationship. Because the Chinese advertising industry is not well established, it doesn't evidently promote the development of GDP,the retail sale of consumer goods and the household consumption expenditures.