Research On The Impact Of Financial Industry Agglomeration On Urbanization Based On Spatial Panel Model

Urbanization,the new growth pole to pull domestic demand,has become a strong potential to achieve economic growth.But there are many factors to affect the process of urbanization,according to the division of driving force in the methodology,financial drive is an important factor.The existing research is more about the role of finance in urbanization from the perspective of financial development or single aspect.However,financial model is tending towards the financial agglomeration,it is necessary to study the impact of financial drive on urbanization from the perspective of agglomeration.In order to explore the impact of financial industry on the urbanization,analyze the impact of the financial industry on regional differences and maximizing the effectiveness of financial drive for urbanization,the paper combines theoretical analysis and empirical analysis.Based on the data of 31 provinces from 2000 to 2016 in China,the agglomeration level of banking,securities and insurance is measured by location entropy.According to the intension of urbanization and existing research,the index system of urbanization is constructed.In order to reduce the subjective influence,the index system is screened by the correlation analysis.In this paper,the spatial autocorrelation analysis of financial agglomeration degree and urbanization comprehensive index is carried out,the spatial distribution of finance and urbanization is understood,and spatial Dubin model is used to analyze the spatial relationship.The effect of financial industry and related factors on urbanization are obtained by partial differential decomposition.The paper puts forward five policy suggestions.The results of location entropy indicate that Beijing and Shanghai have central conditions,and the eastern provinces have higher financial agglomeration.The financial agglomeration in the Yangtze River Delta,the Pearl River Delta and Bohai rim is outstanding,and the agglomeration level in the central and western regions is relatively low.The comprehensive score of urbanization shows that the urbanization of all provinces in the measurement period is rising and the level of urbanization in the East is higher.The difference of provinces in one region is concentrated,but there is a significant difference among regions.The average annual growth rate of urbanization in the central and western provinces is higher than that in the eastern region.The spatial correlation of urbanization banking and insurance are significant.Because development of the securities industry is late and effected by the policy orientation,the spatial correlation is gradually presented in recent years.The distribution of financial agglomeration and urbanization have Matthew effect.There is significant spatial correlation in the Yangtze River Delta,the Pearl River Delta and the areas around Bohai.Among them,the development of Yangtze River Delta is more balanced.The analysis of spatial differences show financial agglomeration and urbanization decrease from the east to the west,and the differences between the central provinces are not significant,also,the eastern provinces were spillover to the adjacent areas and the overall development of financial agglomeration and urbanization tend to be balanced.Financial agglomeration has a positive effect on urbanization as a whole.The agglomeration of banking industry promotes the urbanization significantly including the local and adjacent areas,reflecting the leading position of the banking industry in the allocation of financial resources,Securities and insurance have a positive promotion to the development of urbanization in the region,but the securities industry has a negative spillover effect.It is possible that the securities gathering has removed the elements of the neighboring talents,weakened the function of the reservoir,and reduced the capital base of the neighboring towns by transforming the "capital time and space".Talent promotes urbanization in the region and adjacent areas,reflecting its advantages in technological innovation,industrial upgrading and population quality improvement.Fiscal expenditure has a negative effect on urbanization,but direct effect of fixed investment is positive,but there is crowding out effect on neighboring areas.According to the research,the paper puts forward five policy proposals to speed up the development of financial agglomeration and urbanization,giving some policy recommendations to give full play to the role of financial agglomeration in promoting urbanization.