The Impact Of Telecom Industry Development On Economic Growth

The telecom industry is one of the booming industries in the 21 st century.The market prospect is broad and has attracted the attention of governments.The development of telecom industry in various countries has promoted the economic growth of all countries,and the telecom industry has thus become an important measure of the level of social and economic development of countries and regions.Although it has played a big role in promoting the sustained growth of China's current telecommunications industry,the role of the telecoms industry in promoting different industries is also different,especially the impact of the second and tertiary industries and the telecoms industry.There is a big gap between the impact on the first sector.Moreover,there are more agricultural populations in rural areas,and the economic growth brought about by telecoms services is different in urban and rural areas.Therefore,in addition to studying the impact of the telecoms industry on the overall economic development,this paper further studies the impact of the telecoms industry on the structure of the economy,and whether the impact of the telecoms industry on economic growth is heterogeneous.Combined with the above background,this paper studies the impact of the telecoms industry on economic growth,using information and econometrics as well as industrial economics,and separating the telecoms industry from China's traditional industries,using electronic manufacturing and postal and telecoms businesses.The sum is replaced by GDP,and the status quo of China's economic development is represented by GDP.The primary industry and the secondary industry are used as control variables,and the data of the telecom industry and economic growth from 1990 to 2018 are collected,and the vector autoregressive model is established.The relationship between the two is empirically analyzed and tested by Granger's causal relationship.Finally,the impact of the development of the telecom industry on the overall effect of economic growth is obtained,which proves that the telecoms industry is one of the important factors for economic growth.Economic growth has played an important role in promoting and has achieved remarkable results.On the basis of the role of the telecoms industry in overall economic growth,the paper studies the structural effects of economic growth in the development of the telecoms industry,and analyzes the impact of the telecoms industry on urban and rural economic development to prove the telecoms industry to the economy.The heterogeneity of the structural impact also hopes to find ways to stimulate rural economic growth.By studying the data from 1990 to 2018,the relationship between the two is also combined with regression analysis and vector autoregressive model.The relationship between the two is studied and the Granger's causality test is used to study the telecom industry's urban and rural economy.The impact is ultimately related to the heterogeneity of the telecom industry and China's economic growth.The telecom industry drives rural economic growth and increases the income of rural residents,which helps to make the economy develop in a balanced manner.Finally,the paper concludes that the development of the telecoms industry has an effect on economic growth through both the overall effect and the structural effect.The development of the telecoms industry has different impacts on urban and rural areas and has heterogeneity of growth.Mainly reflected in the following aspects: On the one hand,the development of the telecom industry itself has played a direct role in stimulating investment and consumption as well as national GDP.On the other hand,the construction of telecoms infrastructure to stimulate investment and expand the speed of information dissemination and the impact of the telecoms industry on traditional industries have indirectly contributed to economic growth.In addition,the development of the telecoms industry can enhance the income level of rural residents,which has promoted the growth of rural economy.In reality,the big gap between urban and rural economy is because the development of the telecom industry promotes the economic development of urban and rural areas,but the development of the telecoms industry also needs to be integrated into the corresponding infrastructure construction,including the creation of supporting businesses.The environment,the improvement of the transportation system,the strengthening of education implementation,and the training of human resources,etc.,can only significantly shorten the economic gap between rural and urban areas by virtue of the telecoms infrastructure.The government should,in light of the current situation of the development of rural telecoms industry,formulate new measures to help rural communication services open up new ideas,create a mechanism to promote the modernization of agriculture through information,establish a sound telecoms industrial chain for rural areas,and develop new telecoms businesses.Helping to drive rural economic growth and then drive overall economic growth.