Research Of The Industrial Agglomeration Scale

Currently,with the boom of economy,Chinese GDP makes a breakthrough of exceeding 10000 yuan,which states that we truly step into the medium-term of the industrialization that the whole country's economy shift to light industry-driven instead of the heavy industry.Although the heavy industry is typically multi-dimensional which contributes to cut down the cost because of the emerge and converge of the industry,we cannot overlook the social and environmental pressure than bring with the rapid emerge of the Production scale.So as to provide a theoretical instruction for the industrial agglomeration of the heavy industry,this article will mainly use the iron and steel industry,oil refining industry and electricity industry to be the main focus areas,along with some other external restriction like environment,land,resources and energy,to analyze the change of the industrial aggregation economy base on practical cases in order to draw out a general theory for the evaluation system of the domestic or regional economy development strategy.Base on the three industries in the former paragraph,the essay analyzes the investment on different stages to divide the company cost into variable cost and fixed cost.These will help to build the mathematical model and the cost algebra,with reference to the relationship of average cost is equal to marginal cost in the classical dimensional economics theory,to calculate minimum economic size of the company.In addition,we can obtain the maximum economical size of the company from the maximum capacity of the company's public facility.Once the rule of single company's economic size are drew out,apply the new data from the resources sharing after the industrial agglomeration and getting rid of the same basic facility investment of companies to our cost function,we are at a stage that the maximum and minimum economic scale can be calculated out.