Research Of The Impact Of Producer Services Agglomeration On Urban Economic Gorwth

Recently China’s economic growth pattern gradually turns to "stock economicmodel" from "incremental economic model", so the traditional industry is difficult tomaintain high growth. The transformation of China’s economy to service economy isobjective request and inevitable trend. service industry, especially the productiveservice industry cluster development has gradually become the important strength ofmetropolitan economic growth. In order to speed up the transformation and upgradingof industry and improve the competitiveness of the city, some cities in our countrygreatly develop the agglomeration of producer services group, such as Beijing’sZhongguancun Science Park, Shanghai’s Lujiazui Financial District, and the ShenzhenQianhai Free Zone,Shanghai free trade area are all centered on the development ofproducer services.However, the academic studies of producer services cluster and urban economyfar lag behind the development of producer services agglomeration in reality. Fromthe point of the research status, the related studies mainly discuss the productiveservice industry’s contribution to employment and GDP, the specialized literature ofproducer services agglomeration effects on the city’s economic development from theperspective of industrial agglomeration is rare. From the point of the mechanism ofproducer services cluster, the study of the effect of the productive service industrycluster scale, diversification of agglomeration level, specialization level of productiveservice on urban economic growth is more rare.The agglomeration effects of producerservices in big cities are neglected like "iceberg element". So it is necessary to studythe mechanisms of producer services agglomeration on urban economic, and uncoverthet "black box" of productive service industry cluster’s effect on economic growth, inorder to do strategic planning for national and regional authorities.First, the paper reviews some related research about the the concept and industryclassification of producer services, the concept, measure and mechanism of producerservices agglomeration, the promotion of producer services cluster to economic growth. Then the article studies the mechanism of producer services cluster, from thepoint of emergence and development of producer services, and then puts forward themechanism of producer services agglomeration to urban economic growth and somehypothesis that the more of the productive service industry cluster scale,diversification of agglomeration level, specialization level of productive service, thebetter of urban economic growth. At last, the article takes the cities in Zhejiangprovince as an example, and carries on the empirical research Applying the C-Dproduction function model, so as to put forward the related policy proposal to promotethe sustainable and healthy development of the producer services agglomeration.Result shows that the productive service industry cluster scale, diversification ofagglomeration level both have a positive effect on the city’s GDP growth, but thespecialization level of productive service has some negative influence on economicdevelopment. It can thus be seen the fact that producer services specialization is toostrong and the industry is too single is not conducive to the growth of urban economy.