| Industrial specialization and diversification is one key subject in academic research. For a long time, the regional government was crazy for industrial specialization or diversification in China. So, the industrial agglomeration method with the same trend is more severe. Of course, which is not only bring down the using efficiency of production factors and resource, but also threaten the sustainable development of regional economic. China’s economic development is heading for the "New Normal" period. In this circumstance, the regional economic needs to achieve transformation upgrade, technology progress and technology efficiency. However, which is determined with the appropriate industrial structure and the harmonious industrial system in regional economy development.This paper analyzes the mechanism of the industrial specialization and diversification on regional economic development in theory. Then, applying the Chinese 283 region panel data during 2003-2012, combining the specialization index, diversification index, TFP and the division factors, this paper makes a detailed presenting analysis. This paper finds the specialization is increasing, and the diversification is declining. Moreover, the TE and TP are raising, but the TFP is declining in China. Applying the SYS-GMM, this study finds that the diversification is benefit for Dong and Zhong Bu, but is not any effect for Xi Bu, but the specialization is no significant correlation for any region in China. The cross term of industrial specialization and region scale is different in region, but the cross term of industrial diversification and region scale significantly promote the regional TFP for Dong and Zhong Bu.In addition, this paper also demonstrates that region scale has U impact on TFP. FDI and infrastructure have positive effect on the Dong Bu TFP, but which suppress the growing to a certain extent in Xi Bu. At last, Government expenditure has a negative effect on the increasing of TFP. |
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