Interregional Trade And Regional Economic Growth

Since China's accession to the World Trade Organization,China's total import and export trade has grown rapidly,ranking third in the world.Foreign trade has been hailed as one of the three troikas that drive economic growth.Thanks to China's adherence to the principle of openness to the other side,foreign trade enterprises all over the country have sprung up,and China's commodities have greatly gone abroad and spread all over the world.In the past 40 years of reform and opening up,China's foreign trade and economic growth have achieved world-famous achievements.As a populous province,Henan Province has achieved rapid development in recent years,and its total import and export ranks among the top ten in the country.With the development of the economy,how to achieve sustainable development of trade and economy requires an in-depth study of the internal relationship between foreign trade and economic growth,it's very important for theoretical significance.About the study of the internal relationsbetween exports trade and economic growth,most scholars at home and abroad believe that export trade can promote economic growth,but the study of foreign trade and economic growth in a certain region and province needs further discussion.This paper takes Henan Province as the research object,analyzes the relationship between foreign trade and economic growth,and at the same time promotes appropriate suggestions for promoting the economic development of Henan Province.There aresix parts in this article.The first chapter introduction,mainly describe thebackground and significance of this article,literature review from internal and board,research methods and content,innovation and deficiencies.The second chapter is the theoretical research part.It analyzes the relationship between foreign trade and economic growth through relevant trade theory.The third chapter analyzes the current situation of foreign trade in Henan Province and analyzes the data of Henan's foreign trade data and economic growth.The fourth chapter is empirical analysis.Through the statistical data of 1996-2016,VAR model,using johansen cointegration theory in econometrics,error correction model,Granger causality test and other methods,impulse response analysis,research on Henan foreign trade.A balanced relationship with economic growth.The empirical analysis shows that:(1)From the results of Johansen's cointegration test,there is a long-term stable equilibrium relationship between Henan's foreign trade and economic growth.(2)Granger causality test shows that there is a one-way causal relationship between Henan's export trade and economic growth.Economic growth is conducive to the growth of foreign trade,also foreign trade has promotion effect on economic growth.(3)Analysis of the impulse response function shows that economic growth in Henan Province has a positive effect on export trade.In summary,based on most expert's research results,the article proposes relevant policy and recommendations that are conducive to foreign trade and economic development in Henan Province.