Research On The Impact Of Industrial Agglomeration And Technological Innovation On Regional Economic Growth

After the economic development entered the new normal stage,China put forward a series of policies such as supply-side structural reform and innovation-driven development,aiming to change the mode of economic development and enhance the level of technological innovation,the total amount of economic volume and growth rate is no longer the only goal,improving quality and increasing efficiency is the fundamental purpose,so we have to turn the way to adjust the structure.As an important implementation carrier of these policies,industry is an important anchor for regional economic growth,and industrial issues are closely related to regional economic development.With the development of industry,due to the scale effect and other inevitable lead to the gathering of industry,in order to drive the regional economic growth.At the same time,the driving force of economic growth gradually changes from investment-driven and factor-driven to innovation-driven,and innovation gradually becomes the new engine of development.What is the relationship between industrial agglomeration on the one hand and technological innovation on the other? What is the impact on regional economic growth? And how does it affect regional economic growth?Based on this,this paper will focus on the research theme of "industrial agglomeration,technological innovation and regional economic growth" and try to provide accurate and systematic answers to the above series of questions.This paper picks out a set of cities at the prefecture level in China and uses a mixture of desk review and field research to explore step-by-step the links between industrial agglomeration,technological innovation and regional economic growth.First,based on preceding research and pertinent theories,the key concepts of industrial agglomeration,technological innovation and regional economic growth are pinpointed and the interaction mechanism between these three concepts is analysed theoretically.Secondly,data for 284 Chinese prefecture-level cities from 2006 to 2020 are collected and compared to measure the performance of each variable and visualize the development status of industrial agglomeration,technological innovation and regional economic growth.Then,based on the collected sample data,a two-way fixed effects model is chosen to explore the impact of industrial agglomeration and technological innovation on regional economic growth,and a series of robustness tests and endogeneity issues are discussed.Further,heterogeneity analysis is conducted by type of industrial agglomeration structure and urban location,and panel quantile regression is used to explore the impact of industrial agglomeration and technological innovation on regional economic growth under different levels of economic growth.Finally,the non-linear effects of industrial agglomeration and technological innovation on regional economic growth are investigated using industrial agglomeration and technological innovation,respectively,as marginal variables.Studies show that:(1)The level of industrial agglomeration in China remains relatively stable at a slow growth rate overall,but differences across sectors are quite evident;(2)Industrial agglomeration is an important constraint on regional growth,and the degree of the constraint varies across regions in the East,Midwest and West;(3)Technological innovation is an important driver of growth in the region and the industrial agglomeration’s impact on regional economies is non-linear for different degrees of technological innovation;(4)The cumulative effects of industrial conurbation and technological innovation add to regional growth;(5)The effects of industrial conglomeration on regional growth are heterogeneous in accordance with structural types;(6)The effects of industrial agglomeration and technological innovation on regional growth vary somewhat at different levels of economic development.Therefore,the government should formulate policies to guide the rational location of industries and optimise the structure of industrial agglomeration,while the government and each enterprise should increase investment in innovation,optimise the switching path of technological innovation,stimulate the potential of the combined effects of industrial agglomeration and technological innovation,and fully exploit the synergistic effects of these two factors to promote regional economic growth.