Study On The Contribution Of Land Element To Economic Growth

In1662，William Petty said that” Land is mother of wealth; labor is father of wealth andpassive factor，” David Ricardo Pointed out that land was one of the key to value theory. SoLand is a carrier of man’s survival and social Production, it is an indispensable Physical basisof man’s survival and development. Besides, it is a carrier and space of social economicactivities. Land utilization evolves with the social development and technological progress.When traditional mainstream economists study on factors of economic growth and itseffect, they mostly consider capital, labor, technology progress; many researches basicallyrevolve around the only three elements. Foreign scholars are based on the developed thesystem of market economic, does not take care of the contribution of land element ineconomic growth. China as a rising developing country, the economic situation is differentfrom the developed country particularity. Considering that the industrialization and thisspecial period of city, the government increased the land supply, also changed the one-sidedunderstanding of land. Therefore, this paper is devoted to study on that process about thecontribution of land element to economic growth.This paper Reviews the system of economic growth theory, analysis and summary landusing in China for more than a decade, laying a solid theoretical foundation and realisticbackground for the empirical analysis of contribution of city land factor in economic growth.Firstly, in this paper the data from1995to2011, using the econometric analysis tool tomeasure the contribution of city land factor in economic growth, the results show that there isa long-term equilibrium relationship between economic growth and capital, labor, land, andthe land large-scale investment in economic growth have made outstanding contribution, thecontribution rate of13.92%.Firstly, in this paper the data is from1995to2011, using theeconometric analysis tool to measure the contribution of the factor of the land in economicgrowth. The results show that there is a long-term equilibrium relationship between economicgrowth and capital, labor, land. The land large-scale invests in economic growth having madeoutstanding contribution, the contribution rate of13.92%.Then, using the provincial paneldata at the same time, calculates the contribution of China’s land factor in economic growth, the contribution rate of12.45%.Calculated the contribution rate of land factor based onprovincial panel data is divided into East and West and Center, calculation results is8.64%,25.64%,10.23%. Among them, the contribution rate of east is minimum, and the capitalcontribution of east is the most prominent, the eastern area and the high level of economicdevelopment is inseparable from the central region; land makes the greatest contribution, andas high as25.64%, which is mainly due to the high dependence of economic growth in theprocess of land factors caused; the contribution rat e of west land in the middle position,occupied the highest proportion in economic growth to promote capital element.In the face of factor contribution of China’s land in economic growth is different, so thesuggestions are presented: rational planning of the eastern land, invigorated the stock of landto promote the city; the adjustment of the industrial structure of the central region, optimizedthe structure of land; according to the land of the western region, comparative advantage,improve the land utilization efficiency.