Research On The Impacts Of Promotion Incentive On The Advanced Industrial Structure

In recent years,China’s economy has gradually shifted from a high-speed growth phase to a high-quality development phase.Promoting the continuous optimization of the industrial structure and transforming the economic growth mode has become an important task for China.The optimization of industrial structure requires the scientific and rational industrial policies.And the formulation of industrial policies can’t exist without local government,while the actual implementation depends on local government officials.To this end,it is of great practical significance to explore their impact on the advanced industrial structure from the perspective of local government and official incentives.This paper theoretically analyzes the mechanism of promotion incentives on the advanced structure of industrial structure,and demonstrates the local government’s fiscal expenditure bias in the context of the central government’s emphasis on economic indicators,and clarifies the spatial effect of industrial structure advanced.In the empirical study,this paper uses the data of 280 prefecture-level cities in China from 2004 to 2016 to measure the degree of industrialization by measuring the change value of Moore structure.First,use the age and term of the official to measure the promotion incentive,using the fixed effect model.After the regression,it was found that the term of the prefecture-level city officials had no significant effect on the industrialization,and the age of the municipal party secretary significantly promoted its development.Then,based on the local economic growth rate,fiscal surplus rate and unemployment rate,the promotion incentive index of this paper is constructed.By constructing the geographical distance matrix,economic distance matrix and economic geographic matrix of 280 prefecture-level cities,the ordinary panel model and space are respectively adopted.The panel model examines the relationship between promotion incentives and industrial upgrading.It is found that promotion incentives can significantly promote the industrialization of local and neighboring regions.At the same time,the development of industrial structure in each region is not isolated from each other,but has a significant positive spatial effect.In the control variables of this paper,the local fiscal expenditure decentralization promotes the industrialization of the region,but it has a significant negative impact on the industrial structure development of the neighboring regions.At the same time,the fiscal expenditure decentralization weakens the positive effect of promotion incentives on the industrial structure development.In addition,technological advancement can promote the development of local industries,and there is a significant negative correlation between economic growth rate and local industrial upgrading,while foreign direct investment has a significant negative impact on it.Finally,from the perspective of the promotion and promotion of officials,this paper puts forward the policy recommendations of accelerating the process of industrial upgrading and promoting high-quality economic development.