Studies of Relation between Industrial Structure and Economic Growth in Developing Areas
Zhang Jin-wen
Abstract
Zhang Jin-wen
Abstract
Using the Granger test of causality and linear economic models,the authors in this paper states the relationship between three province's industrial structure and economic growth in the past 25 years.This study shows that there really exists one-orientated causality between the industrial structure and economic growth,i.e.the former can promote the latter,but the latter can't change the former.The study also shows that increasing the third industrial ratio in the GDP can lead three province's economy to grow well.
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Using the Granger test of causality and linear economic models,the authors in this paper states the relationship between three province's industrial structure and economic growth in the past 25 years.This study shows that there really exists one-orientated causality between the industrial structure and economic growth,i.e.the former can promote the latter,but the latter can't change the former.The study also shows that increasing the third industrial ratio in the GDP can lead three province's economy to grow well.
Key concepts: Granger causality, Causality (physics), Economics, Economic indicator, Structural change, Economic geography, Economic system, Classical economics