The Contribution Of Technological Progress On Regional Economic Growth

Technology progress is one of the primary impetuses behind economic growth, and is playing a more and more important role on economic growth. Nowadays, the science and technology develops rapidly and it becomes one of the focuses of measuring one country's international competition capability. We acknowledged that technological advantage is the primary productive forces in economic growth. Compared to developed country's increasing emphasis on technological progress, China still does not pay much attention on it. This does not fit with China's advance in science and technology. However, it is believed that as technology rapidly developing, it's contribution to economic growth will become more and more important.High-tech industries, as the major technology advance force, play a decisive role in the development of technology and finally do well to economic growth. However, China's high-tech industries just begin to develop recently and lead to an imbalance across the Western, Central and Eastern of China in the field of fund input, human resource input and the production and application of science research. Because of this, technology's contribution to economic is not fully exploited, and the Eastern is much stronger than Western and Central in the whole.This paper is up to analyze the regional contribution of high-tech industries to economic growth by panel data model. In the first part of this paper, the technology progress and economic growth theories are given and discussed; In the second part, a large amount of data is used to illustrate the state and difference of China's Eastern, Central and Western's economic growth; In the third part, the variable of high-tech industries is put into the model of economic growth, and by the provincial panel data from 1995 to 2006, we analysis the development of China's high-tech industry's contribution to economic growth. The final result shows that the development of high-tech industries is a little useful to economic growth. Deep analysis also find that the investment of high-tech industries is positive correlative to economic growth, which means the more input of R&D, the faster economics grows. But the number of science research institute and the output of science research are both weakly negative correlative to economic growth. What's more, we got a lot of discovery by comparing the Eastern and Western China's high-tech industries and economic growth, including the reasons why these are caused, and finally give suggestions in a whole view according to the conclusions.