The Research On Relationship Between High-tech Industrial Agglomeration And Economic Growth In Wuhan Urban Cycle

The strategy of Central China Rising has brought unique opportunity for high-tech industryin Hubei Province. Wuhan Urban Cycle as the central one of the important areas, ownsadvantageous circle area, good industrial foundation, solid foundation of science and education,tremendous development potential. High-tech industry is intelligence-intensive andtechnology-intensive. Industry agglomeration can optimize the allocation of resources. Problemson high-tech industry agglomeration at home and abroad has become the focus of regionaleconomics.Therefore, in-depth study of Wuhan Urban Cycle of high-tech industry agglomerationeconomic effect and the relationship between high-tech industry agglomeration and economygrowth relation appears to be particularly important.From the angle of industry agglomeration, this paper takes high-tech industry in WuhanUrban Cycle as the main object of study, based on the theories of industry agglomeration,economic development and relationship between them as studying mainline. By analysing thecurrent situation of social and economic development in Wuhan Urban Cycle and the presentconditions of high-tech industry, this paper estimates this area’s high-tech industryagglomeration with the methods of Space Concentration, Location Quotient and EG index.Furthermore, an econometric model is constructed through multiple linear regression equationfor further verification of high-tech industry agglomeration and its impact on the economicgrowth.And, Grainger Granger causality is used for estimating effects of economic growth onhigh-tech industry agglomeration. At last, this paper puts forward the countermeasures onachieving promoting high technology industry agglomeration and then accelerating economicdevelopment of Wuhan Urban Cycle.Through elaboration and analysis of this paper, conclusions and perspectives as follows:Firstly, high-tech industry has become the pillar industry of Wuhan Urban Cycle. Secondly,development of high-tech industry increasingly promotes economy growth in Wuhan UrbanCycle. Thirdly, R&D expense directly affects the development of high-tech industry, who willfurther promote economic growth. Fourthly, High-tech industry agglomeration levels of cities inWuhan Urban Cycle may enlarge the gap between city economys.Fifthly, Economy growth of Wuhan Urban Cycle and high-tech industry agglomeration level has a two-way causalrelationship.