Industrial Agglomeration and Regional Economic Growth—Analysis of the Threshold Effect Based on Industrial Upgrading

Abstract

Based on the data of 30 provinces (cities) in China (except Hong Kong, Macau, Taiwan, Tibet) from 2004 to 2017, using industrial upgrading as the threshold variable, the panel threshold effect model was used to analyze the relationship between industrial agglomeration and regional economic growth. The results show that industrial agglomeration can significantly promote regional economic growth. The impact of industrial agglomeration on economic growth has a threshold effect based on industrial upgrading. When industrial upgrading is within a higher threshold, the effect of industrial agglomeration on economic growth is more obvious. Aiming at the above conclusions, it is necessary to actively promote the upgrading of the industrial structure while promoting the industrial space agglomeration. Make industrial agglomeration and industrial upgrading better play the role of promoting economic growth.