The Economic Spillover Effects Of Energy Industry In Shannxi

The effect with the development of energy industry to economic growth has been hot topicin economics research field for a long time. Energy contribute more to the economic growthand society construction. Achievements have been gained by economists who do furtherresearch on energy development from various aspects. This paper tries to study how can energyindustry development promote economic growth from a new angle of view, the economyoverflow angle，and this paper is to focus on the economic spillover effect of energy industry.Shaanxi has rich coal, oil and natural gas, energy industry in Shaanxi province has playeda pivotal role to its economic growth. The energy industry has been become one of the eightkey industries in Shaanxi. The energy industry can promote economic growth in the direct, atthe same time, it will have indirect economic development of the spillover effect to the nationaleconomy in all other departments through various channels.This article carries on the measurement on energy industry department’s economicspillover effect in Shaanxi province through the Input-Output Analysis and two departmentanalytic method. Through the analysis of the Influence Coefficient and Sense DegreeCoefficient of Input-Output table to energy industry departments, we can know that: except forProcessing of Petroleum, Coking and Processing of Nuclear fuel, Production and Distributionof Gas, the others energy industries’ Influence Coefficients are greater than the mean, which canbe able to have the spillover effect on other industries; in contrast, other energy departmentshave the opposite effect. From the Sense Degree Coefficient point view, the first three heatenergy industries which are the Production and Distribution of Electric Power and HeatingPower, Mining and Washing of Coal, Processing of Petroleum, Coking and Processing ofNuclear fuel, all of which have their Sense Degree Coefficients greater than2, otherdepartment’s Sense Degree Coefficients are far greater than the mean except for the Production and Distribution of Gas. The results show that the rest of the industry highly depended on thethree industry，and its development level may restrict the development of the national economyin certain conditions. Through the study on the Middle Input and Demand rate,we can concludethat Mining and Washing of coal, Processing of Petroleum,Coking and Processing of Nuclearfuel, Production and Distribution of Electric Power and Heating Power are most used formiddle consumption that is among the production consumption; While Extraction of Petroleumand Natural gas, Production and Distribution of Gas are most used for life consumption; Fromthe labor productivity to see, the Labor Productivity Coefficients of the five energy industrydepartments are bigger, all far higher than other sectors, suggests that the increasing investmentinto the energy industry departments can enhance the output of the energy industry, to promotethe national economic development. Through the two department economic analysis, thecontribution of the energy industry on the overall economic growth accounts for1.831, on otherindustry departments has economic spillover coefficient of0.339.In this article, the energy industry spillover effects are analyzed from the productiondevelopment and scale, new industry development, technological progress, labor productivity,and living standards, then from economic spillover approach, At last, it puts forwardcorresponding powerful policy on the development of the energy industry in Shaanxi province.