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Industry Transfer in China, East-west or North-south?
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TitleIndustry Transfer in China, East-west or North-south?  
AuthorAn Husen and Zheng Wenguang  
OrganizationNankai Institute of Economics, Nankai University, 
Key WordsContinuous Geographic Area; the Gradient of Technical Level; Labor Force Growth Rate; the Direction of Industry Transfer 
AbstractUnder the perspective of continuous space, this paper makes a deep research on the industrial transfer pattern of China, since reform and opening-up, by constructing an industrial transfer model consists of labor force growth and technological innovation. The research shows that the existence of labor growth rate and technical level gradient is the basic condition of industrial transfer, and the high economic rent which comes from the high technology level is the basic thrust of industrial transfer. Conclusions also indicated that there has been almost no industrial transfer from East to West after the reform and opening-up in China. On the contrary, the industry transfer from Northeast to South is notable. Then, “North-South” industry transfer pattern is revealed. At the same time, the simulation results show that if the “abnormal” of technical level is included in the model, the above phenomenon of “North-South” transfer will be even more remarkable. According to the above conclusions, this paper argues that Chinese regional development strategy should focus on “North-South”, rather than “East-West”. The East and Central regions are the main areas of economic activity, while the West should be regarded as strategic rear area. Based on the reality that the growth rate of labor force has been slowed down in China, technology diffusion intensity should be enhanced in order to weaken the negative effects caused by the decline of labor force growth rate. 
Serial NumberWP1063 
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