Spatial Agglomeration, Innovation Interdependence and Externality of Urban Economic Growth
JIA Qing-xian1, ZHANG Zi-ran2
1. School of Economics, Guangxi Minzu University, Nanning, Guangxi, 530006; 2. Institute of Economics, Chinese Academy of Social Sciences, Beijing,100037
Abstract:The spatial agglomeration strategies such as city clusters and metropolitan circles are vital for China to foster growth drivers and achieve high-quality economic development at this stage. Based on the data of 264 cities above the prefecture level in China from 2001 to 2018 and the dynamic spatial Durbin model, this paper observes the internal relationship between spatial agglomeration, technological innovation and economic growth, and explores the economic mechanism of city cluster strategy. The findings are as follows. (1) The direct effects of spatial agglomeration, technological innovation and their interactions have a significant impact on urban economic growth. From the perspective of the multi-dimensional indicators of spatial agglomeration, a 10% increase in capital, population, and enterprise agglomeration leads to an increase in urban economic output of 6.17%, 0.34% and 0.2% respectively. A 10% increase in technological innovation level increases the urban economic output by 0.45%. Technological innovation and population agglomeration have a positive interaction effect on urban economic growth.(2) Urban economic growth exhibits significant spatial externalities. The economic growth of neighboring cities and next-nearest cities has a spillover effect on the city, and the externalities of economic growth diminish with distance. (3) In comparison, the direct effects of population and capital agglomeration on economic growth in eastern region are respectively 14% and 12% stronger than in central and western regions. The agglomeration of enterprises in eastern cities induces stronger spatial externalities. The direct effect of technological innovation and its interaction effect with population agglomeration on economic growth are also stronger in eastern region than central and western regions.
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