Did place-based industrial policy promote regional economic growth? ---- Evidence from China

Jianzhao Liu, Na Li and Xueli Du

PLOS ONE, 2023, vol. 18, issue 4, 1-21

Abstract: Whether the place-based industrial policy promotes regional economic growth is a hot issue in the field of regional industrial economic practice. As a major national strategy in China, the Beijing-Tianjin-Hebei industrial coordinated development policy has been implemented more than 8 years. Verifying its effect on regional economic growth and revealing the policy action path will help to further optimize the policy implementation process through feedback. In this paper, the policy effect and its differentiation are empirically studied from ‘quality’ and ‘quantity’ respectively by establishing a growth model using the Dual Differences method. The results show that the Beijing-Tianjin-Hebei industrial coordinated development policy improves total factor productivity by 2.26% in terms of ‘quality’, and reduces GDP growth rate by 4.65% in terms of ‘quantity’. For the different region, the GDP growth rate increased by 1.28%, while total factor productivity decreased by 2.63% in Beijing, the GDP growth rate decreased by 3.17% and total factor productivity increased by 0.87% in Tianjin, and the GDP growth rate increased by 2.56% and total factor productivity increased by 1.58% in Hebei. The policy is mainly realized by fixed asset investment, capital deepening degree and enterprise scale expansion, while the effect of labor input, R&D investment and enterprise number is not significant. The policy is to give full play to the driving role of fixed asset investment such as "new infrastructure", increase investment in labor and research and development in the region, strengthen the construction of a competitive market environment, and stabilize the ‘quality’ and ‘quantity’ to further release policy dividends.

Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0283688 (text/html)
https://journals.plos.org/plosone/article/file?id= ... 83688&type=printable (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:plo:pone00:0283688

DOI: 10.1371/journal.pone.0283688

Access Statistics for this article

More articles in PLOS ONE from Public Library of Science
Bibliographic data for series maintained by plosone ().