Research On The Development Of Open Economy In Guizhou Province

Nowadays the world is an opening world.Because of the challenge from the economic globalization,all the major countries and regions in the world choose go to opening up to the outside,promote the liberalization of trade and bring economic growth by using comparative advantage.Also our country insists the basic policy of reform and opening up,and focus on communication with the outside world.As the western inland province,Guizhou has the unique geographical features and resources.We believe that it must have a great theoretical value and practical significance in studying the opening economy development of Guizhou province.Firstly,the essay interprets the connotation of the open economy,uses the industrial agglomeration as the intermediate mechanism,and summarizes the internal mechanism between the opening up,industrial agglomeration and economic growth.This theory will be the theoretical foundation of our essay.The summarizes have shown that on the one hand opening-up will through foreign trade,foreign direct investment has a direct effect on economic growth,on the other hand,it also has an indirect effect by promoting industrial agglomeration.Secondly,the essay analysis the economic development,foreign trade,foreign direct investment of Guizhou province in statistical description way,studies have shown that Guizhou has rapid growth in economic development,also has a certain gap with the national average.At the same time,foreign trade volume and foreign direct investment are far from high level.Then we build the index system,use principal component analysis to measure the opening up index from the point of “dual opening up”.The result found that Guizhou province has a low level opening up index than the national average level,and the regional opening up index is higher than international opening up index.Use location quotient to measure of manufacturing agglomeration,we can find that the degree of Guizhou manufacturing agglomeration also not higher,the tobacco processing industry,beverage manufacturing industry and so on are the advantage industries.Thirdly,we use the data from 1995 to 2014,establish multiple linear regression model and VAR model to make empirical analysis of the mechanism.The results have shown that both of the international opening up and interregional opening up have apositive role in promoting industrial agglomeration.Also,industrial agglomeration will promote economic growth in Guizhou.At the same time,the international opening up,interregional opening up both have a positive promoting effect on economic growth in different degree,and international opening up have a greater effect on economic growth than regional opening up.Finally,on the basis of the empirical results,we combine with the actual situation of the open economy development in Guizhou,summarize the open economy development path under the perspective of foreign trade,foreign direct investment and industry agglomeration.All of these researches are for the goal of a better regional economic development in Guizhou province.