Industrial Structure And Economic Development Association Study

A country or region’s economic development is no longer just stay in the pure sense topursuit total economic growth, in addition to the factors including economic growth, but alsoincludes such quality of economic growth as well as changes in economic structure and socialdevelopment and people’s living standards and other changes in the broader sense. Dynamicchanges in the industrial structure affect a State or regional economic development situation,and a country economic development level restricts the adjustment of industrial structure.China is in the Mid-industrialization,a major obstacle to economic development in this periodis structural contradictions, irrational industrial structure and slow change in the economicdevelopment approach is the most prominent problem that it constraints further sustainedrapid and effective to develop economic. Timely evaluation and understanding the currentindustrial structure and level of economic development, researching industrial structure andeconomic development association is very necessary. For our deep understanding of thenecessity to adjust the industrial structure and economic development mutual adaptability,standing on the height of economic development to guide and optimize the industrial structureadjustment has a very clear policy implications.Compared to previous study,the difference is that this article builds a index systemincluding27indicators,it contains economic growth,economy quality,economic structure andsocial development,it can comprehensive reflects the level of economic development. We useprincipal component analysis to comprehensive measure the level of1990---2011theYangtze River Delta Region economic development.Then in the third chapter,we analysis theYangtze River Delta region ’s industrial structure status and found the problems of theindustrial structure.And in the horizontal and vertical directions,we built a comprehensiveindex system including12indicators from six perspective contain the rationality of theindustrial structure,coordination,competition,advance,international and continuity tocomprehensive evaluate the level of industrial structure. By dividing the two parts of theindustrial structure, we research the association about changes within the industry andexternal structure changes and economic development. We use three departments model toresearch changes in the external structure of industry ’s contribution to economic developmentlevels and found that the role of changes in industrial structure to economic development isbecoming more and more weak from the overall point of view.Main reason is that industryresource allocation is becoming maturing and reasonable, changes in the industrial structure inrecent years are more gentle than before. We do Granger causality test for the level ofeconomic development and industrial structure, and found that changes in the proportion oftertiary industry is Granger causality of economic development.By selecting1998-2011 changes in the internal industrial structure indicators as well as the proportion of tertiaryindustry employment and economic growth indicators,we build a VAR model to study theassociation about changes in industrial structure and economic development. It was found thata sudden change in industrial structure on the impact of economic growth is short-term,unsustainable. Shanghai and Zhejiang Province the effect of changes in the proportion ofhigh-tech industrial output value on economic growth was more significant positive, JiangsuProvince, changes in the proportion of tertiary industry employment on economic growthrates have a strong positive effect, while changes in the proportion of the tertiary industryemployment and emerging industry output in services in the impact of economic growth inZhejiang Province showed relatively more negative.From the effect of changes in theindustrial structure on economic growth rate, we find the proportion of tertiary industry inShanghai on economic growth has higher explanatory power;Jiangsu Province secondary andtertiary industries optimize and upgrade on economic growth has a good explanationability;Zhejiang Province second industrial optimization and upgrading and inter-industrylabor flows are able to explain changes in economic growth.