The Empirical Study On Service Industry And Economic Growth In The Five Northwestern Provinces And Regions

Service industry is an important part of national economy，whose level of developmentreflects the people’s life quality. It is also a sign to measure the social and economicdevelopment level. Service industry occupied the main part in the national economy, but alsoabsorbed the main field of employment.The northwest five provinces and regions are the important place for theimplementation of the western development strategy, whose economic development level isextremely important to improve the whole western region’s economic strength and hasimmeasurable influence on China’s over economic competitiveness of ascension. At present,the economic development level is slow and the service industry development level is morenoticeable in the five northwestern provinces and regions. At the background of serviceindustry as the driving force of the regional economic growth, the service industry in the fivenorthwestern provinces and regions has absorbed the attentions of all parts.On the basis of existing economic theories, compared the present of the fivenorthwestern provinces service industry with that of the international and our country,through a large number of empirical analysis and statistical test, the article systematicallyanalyzed the relationship between the service industry and economic growth in the fivenorthwestern provinces and regions by the long-term panel co-integration analysis and theshort-term volatility analysis (the PAVR model), in order to give the advices to keep thefuture sustained, healthy and rapid o development of the service industry and economicgrowth in the five northwestern provinces and regions.