Development Level Of China's Producer Services And Its Influencing Factors

In the Mid-20th century, especially since the 70s, the service industry develops rapidly in an unprecedented scale in the world, and the producer service industry plays the key role. The development of producer service is not only the key point in the development of the service but also makes the greatest contribution to the employment growth. Since the 80s, it gradually replaces manufacture as the main engine to the growth of economic and innovation source. In this context, this document studies the producer service industry.This document focuses on two aspects: the first is to analysis the development level of producer service industry; the second is to explore the influencing factors. On the basis of it, the appropriate policies and measures will be proposed. This document firstly studies the whole development level of producer service industry, and then discusses the different stages of its development using the Boston Matrix Analysis. The study shows that Chinese producer service industry stays in a low level and has an relatively unreasonable internal structure. The proportion of traditional producer service industry is higher than the emerging one. Based on the essential characteristics of producer service industry, this document investigates the growth factors of the Chinese producer service industry from the perspective of demand, using the analysis method of structural decomposition (Structure Decomposition Analysis, SDA) with the help of 2002 and 2007 input-output tables. The study shows that the contribution of the primary, secondary and non-productive service industry to the producer service industry is much larger than itself. It indicates that the current external system, especially the final demand of the primary, secondary industry, has made very important contribution to the development of producer service industry, but it has smaller influences to the further development. The own internal demand of producer service industry will be the key to the further development. Through the analysis, it also indicates that the interaction between the primary, secondary service industry and producer service industry influences the latter's development greatly.Finally, this document provides four basic measures to accelerate the development of producer service and adjust the internal structure, namely to change institution, innovate the technology, policy support and to seize the opportunity.