The Urbanization Promote Hunan Economic Growth

This paper have an empirical analysis to urbanization influencing upon Hunan province economy growth. On basis of considering the urbanization level as an endogenetic variable, we find the estimative results have been improved obviously, we also have a conclusion that the per captia GDP will be doubled if the urbanization level is increased one time. Then, we analyze the different factors which effect to the Hunan province urbanization level. This paper analyzes evolution trend of labor transference and industrial urban-rural transference in the course of urbanization in Hunan province from the viewpoint of history, then quests countermeasures of Hunan province urbanization being advantageous to rural surplus labor transference. The reasons of low urbanization level of Hunan include the remainder influence of historical policy, the urban-rural disparity of current institution, and the lag of industrialization development.Industrialization is main impetus to improve the urbanization level of Hunan province. Based on time series data and cross-sectional data of Hunan provinces in 2005, econometric analysis shows that diversity of industrialization level is the main reason of diversity of urbanization level among different regions, the higher the industrialization level in a area, the higher the urbanization level. Hunan provinces is in a certain condition on the initial industrialization stage, pushing on industrialization of new pattern plays an important role in improving urbanization level in Hunan provinces. In order to improve the urbanization level of Hunan provinces, firstly, we should accelerate pushing on industrialization of new pattern and improve competition power of Hunan provinces cities. Secondly, institutional innovation should be enhanced to build equal developing institutional surroundings for both city and countryside, advance conjunctional development of urban-rural industries, advance the efficient transfer and citizenization of rural labor force.