Selection of Liaoning's Leading Industries Based on Factor Analysis

In this paper,theory of the leading industries and leading industries'selection are reviewed;then benchmarks in the selection of leading industries are determined.On the basis of leading industry benchmarks,this paper selects 12 quantitative indicators: location,employment location,sensitivity coefficient,influence coefficient,income elasticity of demand,speed of technological progress,funds rate,all-personnel labor productivity,output of energy consumption rates,waste management coefficient,sub-industries with the average,and growth rate of workers' wages.With the use of SPSS statistical analysis software,we take factor analysis of Liaoning's leading industries,present five major factors for Liaoning's leading industries and factor scores function,and based on factor scores function and variances contribution to this five factors score the combined points of the 39 industry sectors,and with qualitative analysis finally select eight industries as Liaoning's leading industries.