Structure And Changes Of Investment In The County's Economic Development

Since1949, China’s economy has developed rapidly. As a large agricultural country, farmers accounted for the vast majority of the populations. The county economic condition is one of the decisive factors to ensure social stability, enhance the overall strength and improve the people’s living standards. Two important tasks facing China are building a moderately prosperous society and achieving modernization quickly. County economic development has also become a focus and difficulty of these two important goals. In this context, the issue of the county economy is put on the agenda by the unprecedented attention and concern.As one of the troikas boosting the economy, investment is very crucial for the county economic development, especially for the leaps and bounds. Whether it is the policy development model in which government as the main investment body, the exogenous development model relying on foreign direct investment, or that rooted development model which tries to attract private capital, the fundamental objective is to accumulate capital in order to take advantages of investment brought bonus to absorb surplus rural labor, increase employment opportunities, improve the income level of farmers, narrow the gap between urban and rural areas, increase rural infrastructure, ensure the people’s livelihood, improve the rural social security system, guarantee the social stability and ultimately stimulate the development of the county economy.This thesis analyses the county investment structural from the county-based perspective. First, it combs the theory of the county economic development and investment structure, divides the main body of investment and research period, proposes the research methodology and framework based on the characteristics of the county economy. Secondly, through the analysis of three phases since1949, that the planned economic system period, the economic system in transition and the socialist market economic system period, the thesis studies Jiangsu county’s investment structure under different open conditions and explores the impact of the investment structure change on the economic development of the county. Then it selects the investment panel data of Jiangsu12Samples County, and uses measurement software to draw investment structure changes in the county’s economic development law and analyses the influencing factors which promote the county investment structure change. Final it gets the conclusion which shows that the proportion of government investment in the the county total fixed asset investment is reducing and its role in boosting the growth of the county economy is weakening, foreign direct investment has played a vital role in the county economy leaps and bounds especially for shift process to the county from underdeveloped to developed and the proportion of private investment is rising, and its investment direction is more reasonable with growing significant effect. That is to say, private investment has become a major force to promote the county’s economic growth. On this basis, this thesis proposes some policy recommendations to optimize the county investment structure. The government can clear the field of its investment and improve the investment efficiency, meanwhile attract high-quality foreign direct investment according to local conditions and guide the sustainable development of private investment more reasonably.