An Empirical Study On The Relationship Between Fixed Assets Investment And Economic Growth In Shaanxi Province

Since the reform and opening up, China has made remarkable achievements ineconomic growth and development. In promoting economic growth,"Troika", theinvestment has been a major "boost power" as the representative of Shaanxi provincein western China, the steady expansion of the total economy, rapid growth of fixedasset investment. However, for a long time for the economic development of Shaanxi’s over-reliance on fixed asset investment, and showed a high investment, lowefficiency of the situation, causing great concern of scholars. Against this background,fixed asset investment and economic development in Shaanxi Province, therelationship is important.In this paper, after access to large number of documents, based on the theory ofeconomic growth, the full consolidation of the economic development of Shaanxi andfixed asset investment data, research methods of theoretical analysis and empiricalanalysis, examining the relationship between the fixed asset investment and economicgrowth in Shaanxi Province.The first chapter is the introduction. Introduces the background and significanceof Shaanxi Province, fixed asset investment and economic growth, literature review,research content and methods, and lack of innovation.The second chapter the theoretical basis of fixed asset investment and economicgrowth. System combing the theory of fixed asset investment and economic growth.The third chapter theory of Shaanxi Province and the economic growth of fixedasset investment analysis. Two aspects of the total investment scale and structure ofthe text on the basis of the previous investment in fixed assets from the status ofinvestment in fixed assets in Shaanxi Province were analyzed, of which theinvestment structure of the main sources of funds focused on fixed asset investment,industrial structure, regional structure of the three aspects.Chapter Four Analysis of Shaanxi Province, fixed asset investment andeconomic growth relationship. First, based on1978-2013annual fixed assetinvestment and economic growth data, Shaanxi Province, through the co-integrationtest, error correction model to investigate the relationship between the two; Secondly, based on panel data, Shaanxi Province, the three industries, estimated using GLSregression model, analysis of the efficiency of investment in fixed assets in Shaanxifirst, second and tertiary industries; Finally, based on fixed asset investment and GDPdata Guanzhong, Southern, Northern Shaanxi three regions through investmentreturns and contribution rate indicators measure the three fixed asset investmentbenefits and contribution to the economy.The fifth chapter conclusions and policy recommendations. According toChapter III of theoretical analysis and empirical analysis results in Chapter IV:(1)There is a long-term stable relationship and dynamic balancing mechanism betweenthe fixed asset investment and economic growth Shaanxi Province;(2)investment infixed assets in Shaanxi Province and economic exists between the growth of the twobidirectional Granger causality;(3)Shaanxi single source of fixed asset investmentfunds, and insufficient amount;(4)minimum investment in fixed assets of the tertiaryindustry to bring marginal efficiency;(5)Guanzhong Southern region compared to theefficiency of investment in the region and the northern Shaanxi low, but the degree ofdependence on GDP but higher investment in fixed assets.Based on the above conclusions, Shaanxi Province, comprehensive, coordinatedand sustainable development for the purpose of this paper suggestions for policyinvestment in fixed assets in Shaanxi Province as follows:(1) maintain an appropriatescale of investment, investments in technology.(2)Improving the investmentenvironment and broaden investment channels.(3)Adjustment for investment,optimize investment industry.(4)Rooms coordination of regional investmentallocation.