Study On The Impact Of Economic Opening Up On Urban Total Factor Productivity In China

At present,the driving force for China's economic growth has shifted from extensive growth that relies on labor and capital inputs to a high-quality development stage in which total factor productivity increases.As one of the new development concepts,opening up has important guiding significance for improving total factor productivity and achieving high-quality economic development at this stage.The Fifth Plenary Session of the Eighteenth Central Committee of the Communist Party of China proposed that we must firmly establish Five Development Concept of innovation,coordination,greenness,openness,and sharing,and highlight the important role of total factor productivity as a driving force for economic growth;The report of the Nineteenth National Congress of the Communist Party of China pointed out that China's economy has entered a stage of high-quality development,so it is necessary to use the new concept of development to guide economic development and and promote the transformation of economic growth to total factor productivity drive.Based on the methods of mathematical analysis,mechanism interpretation,principal component analysis,stochastic frontier,measurement test and so on,this paper explores the influence of economic opening up on urban total factor productivity from theoretical and empirical aspects.First of all,the paper illustrates the effects of economic opening up and urban total factor productivity in China from theoretical aspects.Secondly,two comprehensive indexes are formed to measure the level of economic opening up and total factor productivit and are used in analysis of the present situation from three aspects: the whole country,the four major economic regions and the cities of different grades.Thirdly,according to the city-level data of 2002 to 2017 in China,the impact of economic opening on urban total factor productivity is empiricaly estimated.Finally,according to the conclusion of the study put forward targeted recommendations.The main conclusions can be summaried as follows:(1)China's urban economic opening includes two levels: international and inter-regional opening up,Adding international and inter-regional opening up to the endogenous model of TFP in turn can directly reflect the relationship between economic opening up and TFP.Based on the theory of new economic growth and the theory of regional unbalanced growth,economic opening up can significantly promote urban total factor productivity through two ways of resource reallocation and technology spillover,and economic opening up has a heterogeneous effect on urban total factor productivity in different economic regions and cities of different levels.(2)Since 2002,China's urban economic opening level has shown a steady upward trend,but the overall level still needs to be improved;there are significant regional differences in the economic opening level of the four major economic regions,and the level of international opening and interregional opening of the eastern cities is significantly higher than that of the central,Western and northeast cities;the level of economic opening and city level are positive The economic opening level of central cities is the highest in China.Similar to the characteristics of economic opening-up,the total factor productivity of Chinese cities shows a stable upward trend,with regional differences from eastern cities to western cities gradually decreasing;from national central cities,regional central cities and non central cities,the total factor productivity of cities gradually decreases.(3)According to the empirical test results,international opening and interregional opening have a significant positive effect on the improvement of urban TFP,and human capital,urban population density,urbanization level and urban infrastructure can promote the improvement of urban TFP;international opening significantly improves the TFP of eastern cities and reduces the TFP of western cities In the aspect of city level heterogeneity,the role of international opening in improving city total factor productivity is strengthened because of the increase of city level,and the role of regional opening in promoting city total factor productivity is strengthened because of the increase of city level The effect decreases with the increase of city level.According to the empirical results of intermediary effect model,it is found that economic opening has significant partial intermediary effect on urban TFP,which can promote urban TFP through resource reallocation and technology spillover.(4)In the aspect of all-round opening up,it is necessary not only to expand the mode of opening up to raise the level of international opening up,but also to deepen the inter-regional cooperation and integrate the regional market;in the aspect of human capital upgrading,we should speed up the transformation of human capital to total factor productivity on the basis of attaching importance to education;it is necessary to speed up the industrial transformation and upgrade to promote the efficiency of resource allocation;and we should base ourselves on the actual development needs of different economic regions and different cities to formulate the differential policy of promoting total factor productivity.