The Contribution of Retail for the National Economy

The paper analyzes the relationship between the retail industry and economic development which has always been one of the significant areas of the studies in the retail sector. The research and findings of the paper suggest that under the conditions of the market economy, the retail industry for the promotion of industrial structure attracts the workforce and the realization of socio-economic stability and development has an influential role. This selection was from 1998 to 2008 in 31 provinces, autonomous regions and municipalities and other provincial-level regions of panel data. In addition, the Feder-model which is correction-based model for empirical analysis highlighted the contribution of retail industry for the national economy. After studying the contribution of retail industry for the national economy, the research understands the development of retail industry in the national economy. for this purpose, it should arouse the attention of the relevant departments and formulate corresponding policies and regulations in order to promote the development of China's retail industry thereby shrinking the gap with the developed countries' retail industry.