Study On The Trend Of Industrial Distribution And The Major Influential Factors In China

Industrial distribution for each region and the country's industrial economy has great significance. China Industrial distribution has taken place greatly from the founding to the present, and the influential factors composition and internal mechanism have also become more complicated. So it is necessary to re-summed the factors of changes in our industrial distribution and study the influential factors. This will help the state's industrial policy and regional policy development. And it can also promote China's industrial economic steady growth and regional industrial economy balanced development.This paper studies the trend of China's industrial distribution changes, and analyze of the general characteristics of the industrial layout, regional characteristics and industry characteristics. Found that the Chinese industry has experienced a"balanced-non-equilibrium-the convergence"of three stages which are trend in the balance from 1952 to 1984, the trend of non-equilibrium balance from 1984 to 2004 and the convergence of the balance after 2004. Through historical review of the three stages of china's industrial distribution, this paper summed up the impact from changes in trends in China's industrial layout of the factors which include regional policies, level of investment, opening level, marketing level and labor costs. After that the paper uses the inter-provincial panel data from 1980 to 2007 to test the influence of these factors on the combined effect of China's industrial distribution. The conclusions are that: (1) regional policy is an important factor affecting industrial distribution. Preferential policies can promote regional industrial development. It have been reflected from the first development in the eastern coastal areas and the western development strategy; (2) Higher levels of social investment and government investment more conducive to regional industrial agglomeration. Especially during the three-line construction, the government has increased investment in the mainland so that the proportion of mainland industries greatly enhance. And the private investment plays an important role on the eastern region industrial concentration after the economic reform; (3) Raising Opening up and marketing level has a significant positive impact on the region industrial concentration. For a period after urban economic reform in 1984, the eastern region's industrial output continued to increase and industries are concentrated in the east region, largely due to the improvement of opening up level and marketing in the eastern part; (4) The factor of labor costs play an important role on the industrial distribution. For a period of time after reform and opening up, as the labor costs of China's comparative advantage in international and the free movement of labor in the domestic, the industry concentrate in the eastern coastal areas. By the last few years, the relative wage gap is narrowing between the eastern and western regions which lead to transfer the industry to the central and western regions. At last, according to research findings this paper put forward relevant policy recommendations, that is these conclusions for industrial development and reducing regional economic disparities have an important role in enlightening. And these conclusions especially can provide some guidance for the next stage of industrial development in central and western regions of china.