A Study On The Effect Of Productive Service Industry Agglomeration On TFP Growth In Chongqing

As the only municipality directly under the central government, Chongqing has achieved rapid economic development since 1997.However, in the process of rapid economic development,some problems have begun to appear. The key problem of the economic development of Chongqing is whether the economic output can be sustained by too much reliance on factor inputs. Total factor productivity (TFP) is a measure of the contribution to economic growth except factor input. As an important index to measure the quality of economic development, it is of great significance to study the growth of total factor productivity in Chongqing.According to the theory of modern industrial agglomeration, industrial agglomeration have an important impact on regional economy through scale returns, knowledge sharing and technology spillover. Productive service industry has a high degree of knowledge intensive and long value chain industry, which plays an important role in the development of modern industry. It plays an important role in improving regional competitiveness and promoting the sound and rapid development of regional economy. Therefore, this paper chooses Chongqing city as the research object. Therefore, this paper chooses Chongqing city as the research object, through empirical research on the relationship between productive services agglomeration and total factor productivity,which has important theoretical and practical significance to Chongqing city economic development and industrial structure adjustment.From the perspective of producer services agglomeration, this paper first analyzes and calculates the agglomeration level of productive services and its sub sectors in Chongqing in 2004-2015. The results showed that the producer services in Chongqing showed the advantages of agglomeration and development. In 12 years, there were 7 years in which the location entropy was more than 1,and the other years were close to 1. However, the internal structure of productive services in Chongqing is not reasonable, and there is a big difference in the level of each industry. Further, the paper calculates the total factor productivity of Chongqing in 2004-2015. The results show that the total factor productivity index of Chongqing is all greater than 1 in 2004-2015, technical progress is the main factor for the TFP growth in Chongqing City, the technical efficiency in 2004-2009 inhibited the growth of TFP, technical efficiency and technological progress have promoted the growth of total factor productivity together after 2009.Then,on the basis of the previous calculation,this paper uses the method of regression analysis to empirically study the influence of the agglomeration level of productive services in Chongqing and its sub sectors on the growth of total factor productivity?The results show that the overall agglomeration of productive services in Chongqing has a negative impact on TFP growth. In the sub sector,the "Combined Transportation,Warehousing and Postal Industry" and "Wholesale and Retail" agglomeration has a negative effect on TFP growth, the "Information transmission, software and information technology services and software industry "and" Scientific research and technical services"agglomeration has positive effects on TFP growth, and the "financial industry agglomeration "and" leasing and commercial services" agglomeration has no effect on TFP growth.Finally, based on the previous research,the paper puts forward policy recommendations on the development of Chongqing's economy and the development of productive services from the government level and the industry level.