The Research Of The Relationship Between Informatization And Economic Growth On The Industrial Level

Since the middle of the twentieth century, the outbreak of the information technology revolution has led to the emerging of information industry group. With the great promotion of many governments, information industry has become an important impulse of economic growth. Since the information technology is more and more widely integrated with traditional industries, the economy has shown new growth vigor. The China government has been supporting for the growth of information industry and informatization for more than30years. Under the guidance of national policy, China’s information industry has flourished, making great achievements, but also facing enormous challenges.The informatization of developed countries precedes our country, which has led to more sophisticated research on its economic effects. Our country’s information industry lagged behind beginning to grow from the medium-term of industrialization. The conditions of informatization were completely different from that of Western countries. At present, most of the research done by Chinese scholars on the economic effects of information technology has focused on the impact on the total economic output (e.g. GDP). Research related to the economic impact of IT on the industry level lacks.The purpose of this paper is to explore the impact on economic growth, productivity and other aspects influenced by information technology from angle of industry level. Informatization plays an important role in economic growth by optimizing and upgrading the industrial structure, reshaping the industrial economic growth pattern, so as to stimulate the vitality of the industry’s sustained economic growth. Therefore, starting with qualitative analysis, this paper discussed about three effects of information technology on enhancing independent innovation, improving the added value of products, and promoting industrial integration.After qualitative analysis, the paper also studied deeply from a point of quantitative view. In order to measure the level of industrial informatization, an indicator of ICT intensity is introduced upon the input-output data. Further, by comparing the output growth, labor productivity growth of sectors with different degrees of ICT use, we analyze the relationship between the level of information and industrial economic growth. Then, with the method of growth accounting, we calculate the contribution of all factors that drive economic growth of various industries, trying to explore the causes of the industrial growth as well as the role of information technology.From qualitative and quantitative research process, we draw a conclusion that information technology can effectively improve and optimize the industrial structure, so as to fulfill the growth vigor of industrial economy. The empirical study also confirms that, from2002to2010, the information technology generates a positive effect on the rate of industrial economic growth. In the end of the thesis, related policy suggestions are made according to our research result.