Study On The Impact Of Agglomeration Of Producer Services On China's Regional Economic Gap

As an important factor influencing China's regional economic gap,industrial agglomeration has always attracted the attention of academia.The existing researches on the relationship between industrial agglomeration and regional economy mainly focus on the industrial field.With the gradual transformation of the global economy from "industrial" to "service",the proportion of producer services in the national economy has been increasing,and the phenomenon of agglomeration of producer services has become increasingly evident.Up to now,the research on the relationship between agglomeration of producer services and regional economy is mainly focused on regional economic growth.There are few scholars who have directly investigated the relationship between the agglomeration of producer services and the regional economic gap.Based on these,studying the impact of producer services on China's regional economic gap plays a crucial role in the coordinated development of China's regional economy.Based on the literature review,this paper defines the definition and extension of producer services,and clarifies the six major sub-sectors which are included in the producer services.Then,through the description of the current situation of producer services agglomeration and China's regional economic gap,this paper puts forward following three paths of how the producer services agglomeration influence China's regional economic gap,these are economies of scale,technology spillover effect and competitive effect.Moreover,this paper selects the panel data of 31 provinces(cities)in mainland China from 2007 to 2015 for empirical test.And the test mentioned above includes two aspects.On the one hand,we uses static panel and tool variable method to analyze the relationship between agglomeration of producer services and regional economic growth in China from the perspective of whole and regions;on the other hand,we use the panel error correction model and the system GMM method to study the relationship between agglomeration of producer services and China's regional economic gap from the perspective of whole and regions as well.The results indicate that:(1)Although producer services is developing rapidly in China and the proportion of this industry is increasing in the national economy,however its internal structure still has seriously irrationality,mainly embodies in uneven development:wholesale,retail and transportation,warehousing and postal services dominate.The agglomeration of producer services is mainly distributed in the eastern developed provinces,as for the mid-west,the agglomeration of producer services is not apparent withslow development.(2)From 2000 to 2015,regional economic gap in China has experienced a special process of expansion,contraction and expansion.There is still a growing trend of expansion of the economic gap between the mid-west and east in recent years.(3)The agglomeration of producer services can promote the development of China's overall economy.However,when it comes to local level,the impact of the producer services agglomeration on the economic development of the eastern,central and western regions is diverse: the agglomeration of producer services in the east and midland has promoted the development of economy,while in west it has hindered the development of economy.(4)In some extent,the agglomeration of producer services can narrow the economic gap between China's three major regions.By region,the agglomeration of producer services can narrow the economic gap between east and midland,east and west,but it will widen the economic gap between midland and west in some extent.From the perspective of the industry,the agglomeration of wholesale and retail trade,finance,leasing and business services will narrow China's regional economic gap,while the agglomeration of information transmission,technical services and software,transportation,warehousing and postal services,scientific research,technical services and geological prospecting will widen China's regional economic gap to a certain extent.Finally,in order to promote the coordinated development of regional economy,this paper puts forward the corresponding suggestions on the basic of theoretical analysis and empirical research of the impact of producer service agglomeration on China's regional economic gap.The specific suggestions are as following: accelerating the industrialization process in mid-west,providing soil for producer services agglomeration;giving full play to radiation effects of east,strengthening interregional cooperation;optimizing the internal structure of producer services,increasing the added value of industries and guiding the rational agglomeration of producer services to achieve regional coordinated development.