Analysis Of The Correlativity Between Automobile And Correlative Industry In China

Because of the strong correlativity between automobile and correlative industry, the automobile industry can drive development of more than 150 industrial departments up and down the industrial chain, and display a national comprehensive power in science and technology. Therefore, its sound development relates to virtuous cycle of national economy.The article sets up relative mathematical model based on basic principle of Input-Output Analysis and quantitatively analyzes the driving effectiveness of the automobile industry to its relative industries in order to propose references for the development and enhancement of national automobile industry.In conclusion, automobile is one of the longest chain industries and has strong correlativity. With the further Input-Output Analysis and quantitative analysis of this industry, it is obvious that the automobile industry owes a strong Forward Correlativity index (0.672468117) and a firm Backward Correlativity index (0.760259117). The influential index is on the top of Four industries (1.233288), and this industry has been making great and increasing contribution to the growth of economy. Therefore, the automobile industry is the leading industry in China and should be given priority to its development.