A Study On The Effectiveness Of Industrial Policy

At the end of 2018,the regional integration of the Yangtze river delta began to rise into a national strategy.The development of regional economic integration in the Yangtze river delta region is of great significance to the development of China's economy,which is mainly reflected in the integration of regional factors and the gradual improvement of functions,which will make the Yangtze river delta region make new breakthroughs in economic growth and play a positive demonstration role for other regions or economic belts in China.Secondly,the Yangtze river delta region will make full use of new and high technologies to develop intelligent manufacturing industry and become a world new manufacturing base,which will enhance China's competitiveness in the international economic field.In the future,the trend of sustainable development in the Yangtze river delta region will shift from export-oriented economy to regional market integration.In this process,it is of vital importance for local governments in the Yangtze river delta to provide innovative and optimized system supply and formulate appropriate industrial policies to promote the optimal allocation of production factors.In order to demonstrate the effectiveness of industrial policies in the Yangtze river delta region,this paper USES the panel data of prefecture-level cities in the Yangtze river delta region from 2004 to 2016 to make an accurate evaluation of the industrial policy performance in this region.The industrial policy implementation is quantified by indicators such as the number of industrial development zones set up by provincial governments,government investment in science and education,and the number of invention patents granted annually,and the quality of economic development is measured by total factor productivity,so as to explore the impact of industrial policy implementation by local governments on regional economic development.The empirical results show that the industry is measured by the number of development zone and science and education into policy intervention under various estimation methods,to the improvement of total factor productivity effect on the whole is positively significant and robust,and the number of invention patents granted to measure the industrial policy for high technology industries supporting the performance for the solow residual method to calculate the TFP growth rate has a significant positive impact.Among the control variables,the marketization level measured by the proportion of FDI in GDP,except in OLS estimation equation,has a significant inhibitory effect on the improvement of total factor productivity.The significant positive effect of local fiscal revenue ratio on total factor productivity supports the theoretical view of this paper:local governments play a very important role in the development of local industries by promoting industrial optimization and upgrading.The development of local industries not only depends on market competition,but also on the financial support policies of local governments...