Research On The Impact Of Industrial Specialization And Diversification On Urban Economic Growth

Under the background of economic globalization,how to adjust the industrial structure and achieve steady economic growth is an important issue that needs to be considered when facing the domestic environment of economic slowdown and the increasingly complex international market environment.Urban industrial agglomeration is the top priority in adjusting the industrial structure.In the national development plan for strategic emerging industries issued by the state council during the 13 th five-year plan period,it proposed to adhere to industrial agglomeration,develop characteristic industrial clusters,form a new pattern of innovative agglomeration.With the accelerated pace of urbanization in China,the number and scale of cities in China are expanding.Still,in the process of development,various types of cities have encountered different development problems.Such internationally renowned comprehensive megacities as Beijing and Shanghai can easily lead to a series of "urban diseases" due to the high cost of congestion and the environment.Some resource-based cities,such as coal capital Ordos,copper capital Dongchuan,and porcelain capital Jingdezhen,rely too much on natural resources in the development process.With the gradual depletion of natural resources,local economic development is hindered or even stagnated.Thus it can be seen that the industrial specialization or diversification structure should not be blindly pursued on the road of urban economic development.So,how should policymakers choose the development mode and path of the industry to develop the local economy? Therefore,it is of practical significance to study the impact of industrial specialization and industrial diversification on economic growth.Firstly,this paper conducts a theoretical analysis of industrial specialization and diversification and studies its relationship with economic growth.Through the induction and summary of relevant theories,the author finds the influence path and mechanism of industrial specialization and diversification on urban economic growth,which provides theoretical support for the later empirical analysis.Secondly,KSI index and Herfindahl index are used to measure the level of industrial specialization and diversification,and analyze the differences in industrial structure from the national,regional and specific city levels.There are significant differences in the level of industrial specialization and diversification among different regions and cities in China.Thirdly,the empirical study of this paper mainly consists of three parts.The first part is the fourth chapter,the second part and the third part are the sub-sample study as the fifth chapter.In the first part,the fixed effects panel quantile regression model is used to study the different effects of industrial specialization and diversification on economic growth in specific cities.The results show that with the improvement of the urban economic development level,the positive impact of industrial specialization on economic development is decreasing,while the positive impact of industrial diversification on economic growth is increasing.The second part analyzes the impact of urban industry specialization and diversification on economic development based on different geographical locations,from the perspective of the whole country and regions.The results show that,from a national standpoint,industrial specialization and diversification have a promoting effect on economic growth,and the two complement each other.From the standpoint of different regions,industrial specialization has the most robust driving impact on the economy of the western region,and industrial diversification has the most reliable driving effect on the economy of the eastern region.In the third part,according to the various levels of industrial specialization and diversification,the panel threshold model is used to analyze the different impacts on economic development before and after the critical threshold value of specialization and diversification.The research shows that after the degree of industrial specialization exceeds the threshold value of 0.5136,the influence of industrial specialization on economic growth is more significant,and the influence coefficient changes from 0.1508 to 0.3765.When the degree of industrial diversification exceeds the threshold value of 5.9552,the impact coefficient on the economy changes from0.0032 to 0.0512.It shows that industrial specialization and diversification have littleeffect on the economy in the early stage of development.Still,with the improvement of specialization and diversification,they have more and more impact on the economy.Finally,according to the problems existing in the industrial structure of China’s cities,from the perspective of the level of urban economic development,China’s cities are divided into three types: shrinkage city,growth and development city,and strategic balance city,and relevant policy Suggestions are put forward respectively.