Statistical Measurement And Analysis Of Influencing Factors Of "Product-Element" Market Integration In China’s Industrial Sector

In the current context of globalization,the degree of market integration is becoming increasingly high,which has become one of the important indicators of national economic competitiveness.China is one of the largest manufacturing countries in the world,with a very large market size in the industrial sector.Promoting the "product-element" market integration process of the industrial sector can eliminate trade barriers and restrictions between regions,expand market size,strengthen collaboration and cooperation between different regions,optimize resource allocation,and promote coordinated development of regional economies;Promote cooperation and collaboration among different industries,optimize the industrial structure,and promote the transformation,upgrading and upgrading of industrial enterprises;Promote technical exchanges and cooperation,promote technological innovation and upgrading,and improve the technical level of the entire industrial sector.The "product-element" market integration is an important strategy for the development of China’s industrial sector,which will help promote the transformation,upgrading and upgrading of China’s industry.In the process of building an integrated "product-element" market,the government,enterprises and all parties in society need to work together and strengthen cooperation.First of all,based on the general equilibrium theory,combined with the unified large market theory and economic growth theory,this study uses the autoregressive distributed lag(ARDL)method to construct a dynamic econometric model of industrial product prices.It analyzes the short-term and long-term impact relationship between product prices and factor prices in the industrial sectors,and uses this to measure the degree of "product-element" market integration of China’s industrial sector.Secondly,in order to explore the main factors affecting the fluctuation of the "product-element" market integration of China’s industrial sector,10 influencing factor indicators were selected from the aspects of market environment,science and technology,infrastructure,and economic level,and a two-way fixed effects model was established.Taking transportation infrastructure,degree of openness to the outside world,and government intervention as core explanatory variables,adding scientific and technological investment,foreign investment level,capital structure,industrial structure,human capital,urbanization level,and the proportion of state-owned enterprises as control variables for regression.Finally,the measurement results were analyzed,and a variety of methods were used for robustness testing and heterogeneity analysis.Therefore,on the basis of the above theories,this paper mainly uses the data of 30 provinces in China from 1997 to 2019 to conduct research and analysis.It was found that:(1)The level of the "product-element" market integration of China’s industrial sector is showed a fluctuating upward trend during the period of 1998 to 2019,fluctuating between-33% and-2%.Specifically,from 1998 to 2008,China’s economy developed rapidly and its marketization level continued to improve;since 2012,China has entered a new stage of economic transformation and upgrading,and the level of "product-element" market integration has continued to rise;In the past two years,under the impact of the international market environment,the industrial "product-element" market integration has further deviated from the original equilibrium,and the degree of deviation of market integration has increased.Therefore,in the future,the construction of "product-element" market integration should continue to be strengthened.(2)From the PMG regression results,the long-term coefficient of the human capital price index is negative,but not significant,while the short-term coefficient is significantly positive at the 1% level.The long-term and short-term coefficients of the capital price index are both significantly positive at the 1% level,indicating that the increase in capital prices will have a positive impact on product prices in both the long-term and short-term.The regression coefficient of the energy price index is significantly positive in the long-term and short-term,indicating that there is an obvious positive relationship between energy prices and product prices.In terms of control variables,the long-term coefficient of government intervention is positive and significant,while the short-term coefficient is negative and not significant.The long-term and short-term coefficients of external dependence are positive,but only significant in the short term.(3)Analyze the factors affecting the fluctuation of the "product-element" market integration of China’s industrial sector.The regression results show that transportation infrastructure and opening to the outside world can promote the level of "product-element" market integration in the industrial sector,while government intervention inhibits The process of "product-element" market integration in the industrial sector.From the perspective of control variables,the impact coefficients of technological input,capital structure,and urbanization level on the industrial "product-element" market integration are significantly positive,while the impact coefficients of foreign investment level and human capital on the industrial "product-element" market integration are significantly negative.The regression coefficient of the proportion of state-owned enterprises and industrial structure on the integration of industrial "product-element" market is not significant.(4)Due to the large differences between the eastern,central,western and northeastern regions of China,this paper also conducts a corresponding heterogeneity analysis.The results show that the transportation infrastructure has a significant promoting effect on the industrial "product-element" market integration in the western and northeastern regions;Opening to the outside world can significantly promote the integration of the industrial "product-element" market in the eastern region,but the effect on the central and northeastern regions is not significant;Government intervention in the eastern and central regions has significantly inhibited the industrial "product-element" market integration,which is not significant in the West and Northeast.According to the main research content and conclusions of this paper,the following suggestions are put forward:(1)Strengthen infrastructure investment and build an integrated comprehensive transportation system.(2)Improve laws and regulations to eliminate local market segmentation.(3)Strengthen government guidance and establish a local government coordination mechanism.(4)Deepen the opening up and create a good business environment.(5)Strengthen investment in technological innovation and make the Industrial Internet bigger and stronger.