The Study On Industrial Agglomeration And Regional Economic Growth

The difference in economic growth and economic development among regions of mainland in China is always the focus of theory research. In earlier researches, most studies about regional economic growth are based on the hypothesis of traditional neoclassical economic growth theory, which is characterized by the law of decreasing returns and perfect market competition. According the theory, the difference of regional economic growth is resulted from the endowment of regional capital, labor and land etc. Because of the difference of regional factors' marginal returns, so market mechanism would finally eliminate the difference in per capita income among different regions and lead to the equilibrium of economic growth. Based on the neoclassic growth theory, most scholars think that regional disparity is owing to factor endowment, so the regional growth gap will be eliminated if the factor endowment's difference is reduced. But since the reform and opening, conditional convergence has never appeared in China, especially among the eastern, the central and the western. The polarization phenomenon is more obvious. The neoclassic growth theory without spatial factors is obviously lack of persuasion. Under this background, from a new view this study introduces the element of spatial agglomeration of industries into the framework of theoretical analysis and empirical research.This thesis reviews and compares the neoclassic economic growth theory and new geography economic growth model of manufacture industry and center-agriculture periphery. The result finds that industrial agglomeration promotes the regional industrial structure and improves the efficiency of resources reallocation through promoting the quality and quantity of supply of labor, capital and land. Thus the thesis creates a new analysis framework of regional economic growth based on the manufacture industry cluster. Meanwhile, it provides an important view, a research scope and a logical frame for theoretical research and empirical analysis.According to the analysis of macroeconomic data, this thesis confirms that, on the one hand, the manufacture industry appears obviously agglomeration and eastern coastal...