The Construction Of An International Financial Center, The Pulling Effect Of The Modern Service Industry Structure Optimization Study

The most typical characteristic of International Financial Center is its highly developed financial industry. One of the characteristics financial industry distinguishes itself from others is its input of well-educated human capital, which means financial industry is a typical knowledge-intense industry. The development of financial industry encourages the growth of other knowledge and technology-intense industries. Therefore, during the period of forming and developing, International Financial Centers also go through the optimization of the structure of its service industry, i.e. knowledge and technology intense services are replacing labor-intense ones.This paper, first of all, explores the ways International Financial Center optimize the structure of service industry from demand create and input supply, and conclude to five aspects:capital supply, capital allocation, industry driven-out effect, supplementary effect and income effect.To prove the credibility of above argument, under the support of Financial Development Theory, the author picks up Hong Kong and Singapore as case study to test the effect of International Financial Center on optimization of the structure of service industry. On the basis of this case study, metrics test is used to further prove the point that international financial center will optimize the structure of service industry.Finally, this paper puts forward some suggestions for the probable adjustments in service industry during construction of Shanghai International Financial Center.