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The Convergence Analysis on Differences of Regional Development of Service Industry in China

Author: LuoShunFeng
Tutor: LiJinChang
School: Zhejiang Technology and Business University
Course: Statistics
Keywords: Service sector Convergence test Panel data model
CLC: F719
Type: Master's thesis
Year: 2011
Downloads: 172
Quote: 0
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Abstract

Since the reform and opening up, along with China's rapid economic growth, the development of service industry in China has also made great strides to become a new driving force of China's economic development. However, reconfirm the results, we can not ignore the problems in the process of the development of China's service. Which services regional development imbalance is troubled by a real problem in the development of China's service industry, affecting the sustainable development of the service industry. Moreover, the scholars of the services industry is currently focused on the relationship between service sector development and economic growth, the development of service industry influencing factors as well as the service industry and the industrial structure relations, fewer differences in the development of the service industry. Therefore, the study of the regional development of service industry not only has important practical significance, but also help research this aspect of research. This paper analyzes the status quo of China's provinces service development, standard deviation and coefficient of variation, analysis of the absolute difference in the relative differences of the Chinese provinces from 1978 to 2008, real per capita value added services indicators. Overall, the absolute difference of the provinces of real per capita value added services in expanding its relative difference was the fluctuation formula expanding trend down then up. Then, according to the theory of economic growth convergence theory for the gap between the level of development of service industry in China since the reform and opening up and its growth rate gap convergence test. Convergence test: σ-convergence, β-convergence and club convergence, β-convergence test, including the absolute β-convergence and conditional β-convergence. Using 1978-2008 data, in accordance with the relevant test equation, draw conclusions as follows: from. - Convergence results analysis, reform and opening up has nationwide service sector growth there is no obvious. Convergence trend, from the internal region of view, the performance of the three major regions vary. During this period the eastern region development of service industry there are significant. Convergence trend, and this trend before 1995 performance more strongly; while the central and western regions and the country similar in this period there is no the σ convergence trend, worse, after 1995, in the presence of internal services disparities trend , but not obvious; the β convergence results analysis, only the eastern part of the development of service industries in 1978-2008 significantly absolute β convergence phenomenon, the country, the central and western regions of the performance is not significant. But the development of the provinces service industry conditions β convergence; convergence analysis of the results from the club, according to the empirical conclusion, we can see the same economic and structural conditions are met, since the reform and opening up in China, the services growth per capita between the provinces appeared Club convergence phenomenon, and that the differences between the three zones is not reduced, and even expand, but within the three major economic zones convergence obvious. Finally, in accordance with the conclusions of the above differences, continue to explore the factors which lead to differences in the growth of the service of the three major regions since the reform and opening up? Therefore, the introduction of a panel data model (a model of from panel-data). Empirical analysis of inter-provincial service sector growth of China's three regions, found many impact factors in only the second industry has a significant effect on the development of China's three regional services, reflects our present stage of development of the service sector is still not self-development, development of secondary industry development. The paper concludes on the basis of the empirical analysis, policy recommendations for the development of China's regional services.

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