An Empirical Analysis of the Relationship between the Industrial Structure Evolution and Economic Growth——A Case Study of Shaanxi Province
Yu Zheng
Abstract
Yu Zheng
Abstract
Based on Granger Causality Test, this paper studies the relationship between industrial structures and economic growth of Shaanxi Province from 1990 to 2013. Meanwhile, the paper researches the contributions of three industrials to the economic growth in Shaanxi Province by regression analysis. The result indicates that there is a long-term balanced relation and a mutual Granger causality relationship between industrial structures and economic growth. It shows that the secondary industry has made the greatest contribution to economic growth. Given its industrial foundation and advantages, Shaanxi province should promote economic growth largely by second industry, speed up the development of the tertiary industry and maintain the foundational position of the primary industry in regional economic growth.
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Based on Granger Causality Test, this paper studies the relationship between industrial structures and economic growth of Shaanxi Province from 1990 to 2013. Meanwhile, the paper researches the contributions of three industrials to the economic growth in Shaanxi Province by regression analysis. The result indicates that there is a long-term balanced relation and a mutual Granger causality relationship between industrial structures and economic growth. It shows that the secondary industry has made the greatest contribution to economic growth. Given its industrial foundation and advantages, Shaanxi province should promote economic growth largely by second industry, speed up the development of the tertiary industry and maintain the foundational position of the primary industry in regional economic growth.
Key concepts: Granger causality, Causality (physics), Position (finance), Economics, Secondary sector of the economy, Empirical research, Economic geography, Econometrics