Research On The Interactive Development Of Urbanization And Industrial Structure Upgrading In Jiangsu Province

Under the background of the new chances of global economy and the implementation of the new type of urbanization, this paper defined the concept of urbanization and industrial structure upgrading, and deeply analyzed the inner interactive mechanism between them, based on the systematic analysis of related literatures and theories. Urbanization affects industrial structure upgrading by promoting the flow of factor and the demand of market; Industrial structure upgrading also affects urbanization by providing momentum of development, changing the structure of employment, and optimizing functions of cities and towns. The positive interactive mechanism between urbanization and industrial structure upgrading is the driving force of sustained economic growth.Through the analysis of current situation, since 1990 s, given that the urbanization and industrial structure upgrading of Jiangsu Province had been shown the simultaneous development trend and strong consistency, there was a foundation of interactive development. However, there were some problems on the interaction: On one hand, the industrial structure upgrading had limited role in promoting urbanization; On the other hand, the regional uneven development restricted to the overall interaction of urbanization and industrial structure upgrading.Through empirical analysis:there not only existed significant positive correlation relationship between urbanization and industrial structure upgrading of Jiangsu Provence, but existed the presence of stable equilibrium relationship between the two in the long run, and the causal relationship test supported the promotion that urbanization exerted influence on industrial structure upgrading, but not vice versa. In addition, the results of impulse response function and variance decomposition further showed that, compared with the second industry, the third industry had less pull function on the urbanization and the urbanization also had less drive effect on the third industry. So, it follows that the positive interaction mechanism between urbanization and industrial structure upgrading had not been exploited.Through the analysis of interactive experiences between the development of urban and industry, such as the typical areas like New York city of America, Tokyo city of Japan and the Ruhr area of Germany, obtained two inspirations: First, we should play the effect that the urban could promote the industrial structure upgrading, and adhere to sustainable and diversified development; Second, we should play the role that the industrial structure upgrading could promote the urbanization, and emphasize the importance of technological innovation on the traditional pillar industries.Finally, according to the main conclusions of theoretical and empirical research, and combined with the experiences of typical areas of developed countries, this paper proposed some suggestions to promote the interactive development between urbanization and industrial structure upgrading of Jiangsu Province: First, we should continue to strengthen the role of urbanization in promoting industrial structure upgrading; Second, we should vigorously drive the industrial structure upgrading to promote urbanization; Third, we should continue to push the secondary industry to promote urbanization, while accelerating the transformation of traditional industries upgrade; Fourth, we should make the tertiary industry have the subsequent drive on urbanization; Fifth, we should develop a strategy to differentiate according to the different characteristics of each region.