New Growth Theory and China's Economic Growth

Author: Shen Kunrong et al.
Publisher:
Publish Date: 2003-10-01
Features: This monograph takes the new development in the theory of economic growth as its basic framework, setting up theoretical hypotheses and conducting mathematical analysis of variables. Supported by statistical data, it constructs econometric models to study the impact of various types of variables on economic growth. Based on the above empirical research, it summarizes and compares China's economic growth with the corresponding development stages of relevant countries, aiming to gain more insights and policy implications. The monograph consists of an introduction, a section on growth disparities, a section on the information industry, a section on foreign investment, a section on financial liberalization, and a section on trade development. The introduction primarily introduces the evolutionary trajectory of economic growth theory and provides a brief review of related theories. The section on growth disparities first builds a theoretical framework for analyzing economic growth convergence based on the convergence theory in the literature on economic growth, combining insights from structural analysis. It then conducts a systematic empirical analysis of economic growth disparities between Chinese provinces, attempting to provide theoretical support for the Western Development Policy based on these findings. The section on the information industry discusses the connotation and statistical classification of the information technology industry as a major manifestation of the new economy, using this as an analytical framework to study the impact of the development of the information technology industry on economic growth. The section on foreign investment primarily discusses the relationship between international capital flows, economic growth, and economic stability, constructing an endogenous growth model with technology spillover from foreign direct investment as the main variable and conducting empirical analysis based on it. Additionally, using Southeast Asian countries as a case study, it empirically analyzes the relationship between international capital flows and stable economic growth from different perspectives. The section on financial liberalization focuses on the internationalization and openness of China's banking industry. Joining the World Trade Organization will act as a catalyst for the opening of China's banking industry, while the large influx of foreign banks will also engage in comprehensive and fierce competition with domestic banks in terms of talent and high-quality customers, exerting a strong impact on the financial products and service quality of China's banking industry. The monograph proposes that China should adopt an active rather than a passive stance in facing the opening of its banking industry and take specific countermeasures. The section on trade development starts by examining the influence mechanisms between trade and growth, employing empirical analysis methods to study the relationship between China's trade development and economic growth.