Mechanism And Empirical Research On The Influence Of Deregulation Reform On Producer Services Productivity

The world economy has been transforming to service economy since the 1980 s.At present,the added value of service industry accounts for more than 70% of global output,making the world enter the service economy era.In addition,the service industry plays a leading role in global technology innovation.In China,service industry had also developed rapidly,accounting for 50.5% of GDP by 2014,the highest ever.Compared with the foreign service industry,however,there are many deficiencies in domestic service industry,such as the low productivity,disparity in different industries and uneven regional development level.The development of the service industry refers to the increase of the total production as well as the improvement of productivity,which has become the primary impetus to boost economy in China.As an important part in service industry,producer service,which provides intermediate input for service industry,needs more focus on its productivity.And productivity depends on the innovation of technology and the reasonable utilization of resources.According to China's national conditions,producer service has been seriously controlled.Therefore,under the circumstances of deregulation in China,this paper studies the influences of government deregulation on the productivity of producer services,and provides reasonable advice and policies for the future development of producer services.This paper first analyses the overall productivity of producer services in China,and calculate China's total factor productivity(TFP).Then make a summary of deregulation policy and compares the regulations at home and abroad.It is concluded that China's total factor productivity(TFP)of producer services is in the low growth state as a whole,while the government regulation has been in constant relax.After theory analysis,it is considered that deregulation affects the productivity of producer services mainly through two ways: firstly,to reduce government regulation.It can avoid regulation failure and reduce the transaction cost of market entity,thus improving the productivity.Second,the introduction of competition can stimulate market incentives,promote innovation and technology progress and redeploy the resources,thereby improving productivity.Then,empirical analysis is conducted on the basis of theoretical analysis.It is found that in China deregulation reform of service industry will improve productivity.At last,combined with the research of this paper,the following suggestions and policies are put forward: to adjust the regulation range of market;to accelerate the improvement of regulation;to strengthen the supervision of regulatory agencies,to perfect the institutions,and to carry out the reform implementation;to establish and perfect social credit system.