The Impact Of Urbanization On China’s Regional Economic Growth Convergence Analysis

With the constant of china opening up and global economic integration, the issue of differences in regional economic development has taken more and more people’s attention. Study of economic development of a country or region’s long-term trend, whether is convergence exist between regions, and the reasons of convergence, it plays an important role for us to understand the current economic environment for the development and determine the future direction of economic development. The neoclassical theory of economic growth based on the convergence hypothesis, for these issues, including the forecasts of economic growth, and differences between regional economic, if the convergence is existed or not, the speed of convergence and reasons of convergence, all of them have been given a good explanation.Currently, there are many factors affecting economic growth in our country. The report of the party’s18, increase the intensity of urban and rural development, gradually narrow the gap between urban and rural areas, promote the common prosperity of urban and rural areas, accelerating the construction of new urbanization.Urbanization rate continues to improve, promoting coordinated regional development, improve the industrial structure, change the mode of economic development has played a positive role. The urbanization rate plays a vital role, while the urbanization rate promote economic growth, whether have an impact on the regional economic development, it reduce the gap between regions development, or expand the gap between regions development, that is to say, is the urbanization rate played a role on the regional economic convergence or divergence in our country?From the perspective of urbanization rate, the article focuses on the relationship between urbanization and regional economic convergence. Adoption of30provinces (city)’s panel data in1997-2011of our country, empirical analysis of urbanization on the impact of regional economic convergence, and on this basis, points two periods:1997-2004and2004-2011. Respectively, the economic growth convergence of the national and the eastern, central and western regions were analyzed and compared. The conclusion indicates that:Overall, the urbanization rate has played certain extent suppression on the differences of regional economic development. In the1997-2011and1997-2004, the national economic growth perform divergent trends, in2004-2011, performing convergent trends, after adding a condition variable of urbanization rate, making the divergence speed significantly reduced in1997-2011and1997-2004. in the same time, the convergence speed increased significantly in2004-2011.The eastern, central and western, the introduction of the urbanization rate, also has played certain extent suppression on the internal economic growth of these three economic belts. Respectively, in1997-2011, the divergence speed becomes smaller in the central and western regions of our country, leaving the eastern region from the divergence into convergence.Therefore, from the long-term trend of china’s economic growth, the urbanization rate has a significant role in promoting regional economic growth, but also has a significant impact on the convergence. In order to achieve the coordination of China’s regional economic development and the optimal allocation of resources, the urbanization rate has played an important role.This article includes the following sections:The first part introduction the background and significance of the article, And sort out the current relevant literature summarized. Finally, the paper described the idea and composition analysis, And analysis papers and major innovations.The second part is the theoretical analysis of economic growth convergence. First, the absolute J3convergence condition B convergence and convergence clubs this convergence of several major theories and models briefly, Second, this paper discusses the methods used in the empirical analysis, and regression models detailed three hypotheses.The third part is the impact of urbanization on regional economic growth analysis. Introduces the meaning and definition of urbanization level indicator, Then, the study on the relationship between domestic and urbanization and economic growth were summarized and concluded the system, and draw the appropriate conclusions.The fourth part is the analysis of urbanization on regional economic convergence of evidence. This chapter is a key part of the full text, for the1997-2011year of urbanization and regional economic convergence empirical test. The core of this paper is β convergence test, using panel data of1997-2004and2004-2011periods and two eastern, central and western three zones, perform β regression introduced variable conditions, estimates of urbanization on regional economy convergence of.The fifth part is conclusions and policy implications. On the basis of empirical analysis of the fourth part summarizes the main conclusions of this paper, and in accordance with China’s economic development and urbanization of the actual situation, how to effectively reduce regional differences in economic development, put forward a series of targeted initiatives.