Empirical Research Of The Impact Of Externalities On The Growth Of Produce Services

An Empirical Study on the Impact of Externalities on the Growth of Producer Services Under the background of the optimization and upgrading on global industrial structure,and industrial gradually change to “service economy” the importance of producer services on economic growth is increasingly obvious. In the past decade,producer services in China has significant achievements, however, compared with developed countries is still relatively backward. In recent years research on domestic producer services is gradually increasing, but the focus is major on factor inputs, government policy and historical conditions rather than industrial structure or industrial distribution. Therefore, the research from the industrial externalities angle on the growth of producer services has important significance.This paper presents the mechanism of specialization(MAR externalities) and diversity(Jacobs externalities) through innovation acting on the growth of producer services. And propose three hypothesis,including the existence of a nonlinear relationship between specialization externalities and industry growth, diversification externalities playing a catalytic role for industry growth, and externalities affecting producer services growth through economic development and human capital threshold.Empirical research, selecting China 2004-2012 provincial panel data, using dynamic panel model and threshold model, verify the three theoretical assumptions. The dynamic panel model empirical results show that, the in the national sample range, there is a "U-shaped" relationship between specialization externalities and industry growth. Lower degree of specialization is not conducive to industrial growth, and the higher degree of specialization can promote industrial growth; diversification externality play an active role on the growth of producer services; In sub-regional discussions, the effect on producer services growth of specialization and diversification play a different role in different regions. The research,based on the perspectives of needs and innovation, using economic development level and human capital as the threshold variables, found specialization externalities affecting producer services growth through economic development and human capital threshold. Only under the condition of economic development across the high threshold and human capital across the low threshold, specialized role in promoting the growth of producer services can be achieved; Diversification of external influence on the growth of producer services there is only the threshold of human capital, and its effect is always positive direction.