Agglomeration,Externalities And The Growth Of High Technology Industry In Pearl River Delta

With the characteristic of high knowledge, high technology and high innovation, hightechnology industry plays a certain role in promoting technological progress in informationtechnology and knowledge economy era. Relied on its unique manpower and material resources,location and policy advantages, Guangdong developed rapidly into a development pattern thatGuangzhou, Shenzhen as the center and the Pearl River Delta as high technology industry district.Now its production scale,national innovation ability are all in a leading position and has formedthe industrial agglomeration. Industrial agglomeration effect on high technology industry mainlythrough the three kinds of externalities: the first one is MAR externalities (specializedexternalities), stem from the impactof enterprises in the same industry; the second one isJACOBS externalities (diversified externalities), derived from the interaction of enterprises indifferent industries; the third one is PORTER externalities (competition externalities), derivedfrom the effects of enterprise competition in the same industry. The action mechanism whichexternalities affect the growthof high technology industry mainly include cost efficiencymechanism, the personnel flow mechanism, communication mechanism, contract collaborationmechanism, enterprise derivative mechanism and competition mechanism. And the first fourmechanism mainly exist in the MAR and JACOBSexternalities, the derivative mechanismmainly exists in MAR externalities, and the competition mechanism mainly exist inPORTERexternalities.Based on the theoretical analyzing,this paper describes the current situation of developmentand agglomeration of high technology industry in the Pearl River Delta. We calculate eachexternalities, and we explore the existence of nonlinear relationships between the differentindustrial agglomeration externalities and industry growth, the extent of impact from three kindsof externalities to the industry growth.The empirical results show thatspecialized externalities inall high technology industries and industry growth have the nonlinear relation of invertedU-shape.There is not obvious U-shaped relationship between diversified externality and industrygrowth in Pharmaceutical manufacturing, but is obvious U-shaped relationship in electronicinformation industry and instrumentation, cultural and office equipment manufacturing. It’s said that,specialization is key factor of the industrial grow in the short term, but diversification willplay an important role in the long term. Competition externalities have significantly negativeeffect on industry growth in three high technology industries.Then the cause analysis is givenaccording to the results. And we put forward the proposal on the development of high technologyindustry in the Pearl River Delta from the national dimension,industry dimension and enterprisedimensions.