Econometric Analysis On The Impact Of Financial Deepening And Scientific And Technological Innovation On The Optimization And Upgrading Of China’s Industrial Structure

Faced with multiple conditional constraints such as population,resource and environment,the new normal has become the most basic characteristic of China’s economy,the need for transformation and upgrading of economic development and the new development of kinetic energy conversion are both of great urgency.The key of economic development model of the transformation and upgrading for China lies in the optimization and upgrading of industrial structure.Scientific and technological innovation which acts as the first productive force and financial deepening which acts as the first driving force are the two main pillars of the optimization and upgrading of China’s industrial structure.Based on this background,in the paper,we have carried the empirical research on the effects of financial deepening,scientific and technological innovation and the coupling of the both on the optimization and upgrading of China’s industrial structure.The specific contents of the research includes:(1)the evaluation analysis of the current situation of China’s financial deepening,China’s scientific and technological innovation,the coupling of the both in provincial and regional levels and the evaluation analysis of the coupling coordination types of the both in provincial level;(2)the evaluation analysis of the current situation of the optimization and upgrading of China’s industrial structure in provincial and regional levels;(3)comparison and analysis of the impact of China’s financial deepening,China’s scientific and technological innovation,the coupling of the both and the coupling coordination of the both successively on the optimization and upgrading of China’s industrial structure by using the linear static and dynamic panel models;(4)analysis of the thresholds of financial deepening and scientific and technological innovation for the coupling coordination of China’s financial deepening and China’s scientific and technological innovation in the process of the optimization and upgrading of China’s industrial structure in the three major areas(the national,the east and the midwest),by using the panel threshold models.The results show that:(1)From the perspective of provincial or regional levels,financial deepening of China and scientific and technological innovation of China are both in a low level.This means that financial deepening of China and scientific and technological innovation of China both have larger ascension space.(2)From the provincial and regional level,The coupling of China’s financial deepening and scientific and technologicalinnovation system,during the year from 1997 to 2014,is in a high level.This means financial deepening of China and scientific and technological innovation of China are highly related in the development process.(3)From the provincial,the development step of scientific and technological innovation of China obviously lags behind financial deepening of China.Only in the part eastern areas,such as Beijing,Jiangsu,Guangdong,Shanghai,the coupling coordination level crosses into the coordination development class after a successful transition,while the other provinces which account for most proportion are in the transition class all the time.Showing from the provincial level,the development of the coordination of financial deepening and innovation of scientific and technological innovation of China overall is not high and still in its infancy.(4)The rationality and highness of China’s industrial structure both have larger room to improve.That indicates that the basis of economic development of China’s industry isn’t enough strong and the service level of the economy isn’t high enough.(5)China’s financial deepening or China’s scientific and technological innovation can only partly promote the optimization and upgrading of China’s industrial structure,while the coupling coordination of China’s financial deepening and scientific and technological innovation system can comprehensively do.The current development level of scientific and technological innovation of the eastern areas can simultaneously achieve the threshold requirements of scientific and technological innovation,while the national areas and the midwestern areas neither meet the threshold requirements of scientific and technological innovation.None of the national areas,the eastern areas and the midwestern areas can acquire the threshold requirements of financial deepening.That shows that only the East China has the innovation ability to meet the requirement of the optimization and upgrading of industrial structure,the national areas and the midwestern areas don’t.None of the national areas,the east areas and the midwestern areas meet the financial service need of the optimization and upgrading of industrial structure.