Study On The Relationship Between Industrial Structure Upgrading And Convergence Tendency Of Financial Services Industry In The Central Region Of China

After 1990's, financial industry, which is the core component of producer services in China, is developing rapidly. Theories suggests that, for the transformation of economic growth's method and promotion of industrial upgrading, government must coordinate the convergence interaction between financial services industry and any other industry, and must give full play to the resource allocation function of financial services. However, the development of the central region and the scale of the financial services industry in there are still limited, the resource allocation function of capital markets need to be further improved.Based on the status of the central region, this paper analyses the internal correlation between the financial services industry's development with convergence tendency and industrial upgrading. This paper firstly summarizes and explains the theory of industrial upgrading, then introduce the development status of the industrial convergence' s theory. Secondly, use input-output analysis and theory about industrial convergence to explore the convergence tendency of financial services industry in central region of China. After that, though using the panel data model, this paper gets a conclusion that the convergence of financial services will promote the process of industrial structure's upgrading. Finally, this paper also presents some policy suggestions for the development of industrial economic in central region of China.