| Following the policy of reform and opening up, our country gradually increaseddegree of economic openness, speeded up the adjustment and upgrading of economicstructure, achieving the rapid economic growth. At present, with the global economicintegration accelerating, China contacts with the international economic market moreand more closely. In the long term, increasing the intensity of open economy anddeveloping the open economy is still strategy of economic development in China. It isgenerally believed that the openness to foreign economy promoted the economicgrowth, but there is little study on the stability equilibrium of this kind of promotionmechanism in the long run, the changes in the short term, and the trend ofdevelopment in recent years. In fact, influenced by the economic reform, all kinds ofexternal shocks, policy changes and other unpredictable factors, China’s economicstructure is gradually changing, which will affect the pull function to a certain extenton the economic growth in China. Especially in recent years, the service trade hasdeveloped fast, the proportion of which in GDP increased year by year, and its pullfunction on the economic growth becomes more and more obvious. So, they do notreflect all motives of the economics growth whose research are based on the C-Dproduction function Solow residual value at home and abroad. Therefore, on the basisof predecessors’ research, through the empirical analysis discussing the relationshipbetween economic openness and economic growth in China, I divided the paper intothe following four parts.The first part mainly introduces the domestic and foreign scholars on the researchof the relationship between economic growth and economic openness. By combingthe related domestic and foreign literature, studying the meaning of the economicgrowth and economic openness and its influencing factors, I studied the theoreticalbasis of the relationship between economic openness and economic growth for furtherresearch.The second part is mainly to choose the trade openness, investment openness,financial openness, actual tariff rate, and service openness indicators to measureeconomic opening level from1982to2011in our country, on the basis of China’seconomic growth and foreign economic and trade data. Then figure out China’sgeneral economic openness by factor-analytic approaches. The outcome shows that except the actual tariff rate, all the indicators are showing a rising trend, while theactual tariff rate presents a downward trend, as the contrarian indicator of economicopenness.The third part is mainly to establish a model on the relationship between theeconomic openness and economic growth in China for empirical analysis. First of all,set up the co-integration regression mode with the metric data of the relationshipbetween China’s economic growth and economic openness. The results shows thatthere is long-term stable equilibrium relationship among variables, and trade openness,investment openness, financial openness and services openness have positive effectson economic growth, while the actual tariff rate has negative impacts on economicgrowth. Secondly, establish co-integration regression model on China’s generaleconomic openness and growth. The data showed that: in the long term, economicopenness has the stable promoting effect on economic growth. Then establish errorcorrection model on the general economic openness and economic growth in China.The results showed that in the short term, economic openness of promoting effect oneconomic growth will deviate from the long-run level, but the reverse error correctionmechanism will draw gradually back to the long-run stable level. Finally, introducethe state space model, the invisible factors of the outside world into observableequation, and study the actual contribution to economic growth from the microscopicview, and dynamically display its development trend, then conclude that economicopenness can predict the economic crisis early.Finally, I draw the conclusion from data of the analysis and put forward fourpieces of advice: optimize the structure of foreign trade to promote economic growth;increase the foreign investment and use the foreign capital efficiently; expand thefinancial openness to promote economic growth; vigorously develop service trade andpromote its international competitiveness. |
