Download A Survey of Capital Economic Circle and its Industry Development

A Survey of Capital Economic Circle and its Industry Development
of Regional Cooperation
ZHENG Zhong
China University of Geosciences (Beijing) Beijing100083
[email protected]
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Abstract: This paper has integrated the characteristics of Capital economic circle and its industry
development of regional cooperation to study on sustainable development problems. It has put forward
that we should realize adjustment of industry structure; it has indicated that reform the administrative
finance system in order to break the district monopolization and the region’s benefit divide up. We
should confront the factors existed with non-balance and opening trait of industry structure; pay
attention to the effect of regional cooperation in a common benefit for a long-term. Through analyzing
the market predominant and resource complement of industry development, pointed out that enhance
producer services is a trends of Capital economic circle.
Keywords: Capital economic circle industry cluster regional cooperation, producer services
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1. Introduction
Because of Jing Jing Ji (Beijing, Tianjing and Hebei province) have existed a grads gap with
technology and it has also formed a grads difference with industry development, both the level of
technology and industry development of Beijing is exceeded HeBei. Jing Jing (especially Beijing) has
confronted with city function transform and industry construction upgrade. Beijing has to transfer some
industry that without advantage any more. Jing Jing Ji are joined each other because of all of the swap
cost and produce element cost are cheap with the factor of terra, we would enhance the produce element
and improve the resource utilize efficiency to reduce the cost of industry transfer and its construction
adjustment. It has considered that we should pay more attention of innovation and efficiency to upgrade
industry structure with producer services, it has meant that reduce the degree of rely on the devotion of
resource evidently within our economic growth.
How we do realize industry transfer of Capital economic circle in a reason and kilter way? It is
not only a requirement of optimize the space function of Beijing circle or a demand to deal with produce
element collocate in a big region system, but also is an essential of optimize industry construction for
sustainable development. Along with economic growth continuously, society has divided the work
unceasingly, at the same time, market has been expanded unceasingly both inside and outside of our
country; moreover, the production manufacture process has been Segmented as a good many middle
links gradually and so it has brought a great lot midway demands.
Evidently, surrounding these demands it has formed a kind of producer service that has become
an important factor to promote the strength of industry competition. It determined that science and
technology has been applied in a wide range to solve the problems on the field of economy produce, at
modem economic times, it was innovation that has been as a symbol of epoch-making [1].
．Analysis on Industry Development of Capital Economic Circle
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．1 The Resource and Region Predominance of Beijing
ⅰ
The resource and predominance of Beijing region have included:( )Beijing has possessed of
universities throng, R&D organizations and R&D centers of big enterprises of national and international,
it has been become the supreme education basement of talent and the maximal R&D basement of
science and technology.( )There are 327 tour scenic spots of Beijing. The resource of humanity history
for long time with a hugeness tour market, maybe few other cities in the world could compare Beijing.
( )The relevancy maturity industry development of Beijing has grown up. The conveyance
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development as an upper industry, it has applied the surely exchange products for circulating trade.
But some shortage should be considered: Because of the history and natural condition reason, the
environment was an outstanding problem, especially for sand cruel and was hard up water. It was
different with pollution lack of water in Pearl River and Yangzi River region, Beijing has been belong to
structure lack of water. In fact, between the technology resource and industry development that has
presented as an unbalance of structure, land resource and electric power are relatively inadequate in this
region, it has been weakened of attracting MNC (multinational corps) investment. In another hand, the
add value of industry is relatively feebleness because of Beijing’s development guide without taking
industry as uphold.
．2 Industry adjustment of Capital Economic Circle
Beside the industrialization of high-tech, it depends on promoting the utilization efficiency of
produce element，impulse labor and capital in order to transfer it in a higher efficiency of produce
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industry [2]. For example, Capital Steel has been moving for industry adjustment, automobile industry
has been built as a big group, it would consider to taking producer service as a main developing industry
for extending R&D design and service trade. In fact, we should enhance independence industry link and
advance the competitiveness of big enterprise. Along with the function of orientation of Beijing city is
changing, compare dominance has renewed, part of industry has maladjustment or without
competitiveness any more, and so all of this industry had to transfer to out of Beijing city. Hebei
province should seize the opportunity, and according to itself industry basement or compare strength to
absorb, rebuild and promote the industry structure of itself.
It assumed that through bearing a part of function of Beijing city, to bring along the industry or city
cluster development of northern Hebei. One of target of Big Beijing s planning was that relax Beijing
city s pressure and scatter metropolis s function for adjusting industry arrangement, when we develop
middle city that would make a city throng in reason of Capital economic circle. Jing Jing Ji are favor of
enlarge employment for its economic growth. According to World Bank’s estimate, there are labors
quantity from 7.42 hundred million will add to 8.22 hundred million of China 2000- 2010. Beforehand
there are 800 million to 900 million new added labors every year [3].
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．3 Regional Cooperation of Capital Economic Circle
It has assumed that industry development was a basic dynamical of city development. The city
cluster development of Capital economic circle that has depended on its industry cluster. Industry
transfer in a grade way, it would be existed anyhow in nations even if in globe. The industry adjustment
has been also appeared in economic development of Big Beijing.
Because of its industry structure trends was alike, among these region and enterprise has formed a
situation with strain relationship, and difficult to cooperation. It has gone against in a long development
way. According to status of resource gift and industry development of Capital economic circle, we
should consider on adopting an approach of industry transfer, trade harmonize, product collaboration
and associate with exploitation in a united way. It needs definitude the orientation’ function in each terra;
divide the work of industry, correspond base establishment construction and father zoology environment
with every city of this region.
Along with the reorientation of Beijing and Tianjing city’s function, it has been changed the
relationship of Jing Jing Ji district from a competitiveness partner to a cooperation group. In Caofeidian
district, Tang steel and Capital steel are constructing a great united steel enterprise. Maybe it could
found an actualize mechanism and a relative system of protection, to form inspirit and sanction for
region cooperation.
The situation of Jing Jing Ji region was in a competitiveness way but not cooperation, they had
disputed project and contend resource, one of an important reason was that they had not orientated the
industry development that had depended on their compare strength, and so it had formed the industry
structure in a common trend seriously.
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．Development of Producer Services
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．1 Why We Develop Producer Services
An American economist had put the conception of producer service forward firstly, when he had
classified industry of service in 1975. According to the experiences of overseas, develop producer
services vigorously was one of industry adjustment in main economic circle of their countries. It has
been proved that producer services was the best of all industry developed quickly in the world economic
growth. The growth level of producer services that has gone beyond than industry of service average in
the developed countries, and it has formed a typical throng of producer services in American and
Germany, and one of a distinguished representative should be the Silicon Valley.
Capital economic circle industry development and region cooperation: Firstly, develop producer
services quickly, it is in favor of service industry and whole industry structure to upgrade and optimize
in our country. Secondly, because of improving produce services could reduce or change the economic
growth that has depended high resource consume and high capital investment too much; Thirdly, This
kind of situation would be changed that our country’s development has caused by high investment and
export, but not pulled by a leading with demand of consumption. It is a key that we could find a way to
realize new industrialization and sustainable development. Under a condition if it is a rate of
urbanization China reaches to 70%-80% in 2050, it means that China would have 7.2 hundred million to
8.8 hundred million population would transfer to city from country[4].
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．2 The Experiences of Developed Countries
In nowadays, why some developed countries have their strength of international competitiveness,
one of an important reason is that their modem service industry, especially the producer services
industry develops rapidly. It becomes a symbol of modem market economic and also is an important
sign of economic society’s modernization level, and a degree of development flourish. At present,
service industry has occupied 70% of GDP in many countries and regions, and produce services had
occupied 70% of service industry.
In American, Japanese and German, analysis the experiences of accelerating producer service we
can find it: (1). It has a basement that owns right law and code to support and ensure for produce
services development. Because of developed producer service early in many developed countries, it has
formed a relatively perfect system of law and code. From 70th of 20centure in American, it had been
relaxed on control the transportation market highway, railway, aviation and navigation in order to
promoting modem logistics development, by the extremely market competition, it declined the charge of
transportation. (2). One anther aspect, commerce development is belong to rely association that is
facilitate to develop producer services. A maturity establishment of foundation is an emphasis crutch to
develop produce services quickly in a healthiness way. Through using new communication technology
to amend logistics, assemble and unassembled by German government, it has supported them for
cooperation between freight agent and transport corps. Finally, Human resource open up is an important
ensure for developing producer services in a health way.
．Producer Service Development in Capital Economic Circle
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．1 Producer Services Development Status
It has a wide apace for development producer services in Beijing, it had occupied above 40% of
GDP and its proportion in the third industry had reached 55.9% according to Beijing bureau of statistics
in the first half year of 2007. Producer services included information transmission, computer service,
software industry, lease out business, science research, technology service and the reconnaissance of
geology. It’s amplitude beyond the average of the third industry.
As an essential middle investment in industry growth, the investment quantity, quality and manner
of producer services that indicates the modernization degree of industry development. It has been
become a main headspring that caused the add value of produce efficiency, and it has combined inner
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(inside enterprise) service, and independence service (purchase service from out side of enterprise). For
example, produce services has occupied about 40% of service industry in Zhejiang province, it has
existed a length gap that compared the developed countries. It is a difference of embodiment, especially
producer services of development in Beijing, Guangdong and Shanghai.
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．2 The Effect of Producer Services
From the 90th of 20centure, the industrialization course that had been boosted distinctly, and it had
provided a wide space for developing producer services. We will be favor in the transference economic
growth from a way of depending on foreign trade to a benefit of quality way. For example, it can obtain
employment relatively low are finance insurance, transportation, storage, mail industry and real estate,
but the industry of wholesale and retail trade, restaurant etc that absorbs employment in the highest level
of ten thousand GDP. Energetically, progress producer services as a core service industry, it helps to
increase the add value of service industry so that upgrade industry structure and avoid a great of
population add to the cities.
Along with manufacture center shifts to China, its market share has enhanced gradually. According
to a multinational corps investment spot check, the quantity of the MNC (multinational corps) will be
attracted to a higher volume in the first ten years of 21centure by China. On the other hand, the bank of
foreign capital will resort its mature service to reinforce competitiveness in a whole orientation between
local banks of Beijing and other cities in China. The competitiveness is even more severity, especially
for real estate finance industry with cash flow plentifully [5].
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．3 Industry Development and Regional Cooperation trends analysis
①
To analysis economic development of Jing Jing Ji district that will be included:
The principal
problem is to obtain collectivity benefit regional cooperation in a magnifying way; It can take disport
taxation to resolve district revenue distribution, when industry transfers in a producing area. But the
chief question is how to consider city’s function, land utilize, resource and environment protection, the
bear weight of water that drives a fountainhead of sustainable development in the economic circle;
however, it is a must for creating opportunity of employment that connects regional development in line.
Realize produce essential flow in the district with a reason way, r we should hold resource share,
predominance exchange and make balance for divide of the work and optimize utilization of resource in
order to refrain reconstruction or hostility competition.
Establish Capital economic circle
development strategy frame, it is a stress to form a industry throng belt alone the axes of Jing Jing Tang
(Tang means tang shan)highway.
Capital economic circle would be combined the Capital predominance and Tianjing port advantage,
in the meantime, Beijing’s knowledge economy strength and Tianjing’s trade economic should be better
integrated. Pickup the course of Jing Jing Ji regional economic development in a unifying way, it would
be propitious to expand new add employment, and it would be as soon as possible delay
population ,resource and environment pressure of core l district of Capital economic circle.
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．Conclusion
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Capital economic circle should construct a new industry structure for taking participate in economic
technology cooperation and market competition; it would presume itself on international resource
collocation in a bigger range, administrative in a taller level. We regard that is a strategy choose for
accelerating modernization of producer service, it will be in favor of breaking away from our traditional
industrialization path. The model of economic growth should be changed in order to take a new type
industrialization road. Enhance the cooperation of communication, talent, information and technology in
Jing Jing Ji region; realize resource share and pay attention to innovation of cooperation and compare
strength for regional industry development. However, it should accelerate to construct a traffic
establishment network system, when we assume the industry links of Jing Jing Ji district that called
Capital economic circle. Along with market economy has been transferred deeply, it is a time to
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establish a new stage of modem service that leading economic growth in a sustainable development way.
A country’s dynamical of economic growth that has depended knowledge economy as a basement with
modem service, but not depended manufacturing [6].
Reference
（
）：
[1]S. Kuznets 1966 Modern Economy Growth, Translated by Dai Rui, YI Chen, Beijing: Beijing
Economy College Press, 1991, P7-8.
[2]Kevin. Brouze. Chin. (1997):The Explosion of the Blaze New Trails [M],quoted from Li Guanlin
(2002): Analyze on The Third Industry Investment and Output [M],Beijing: China Commodity Prices
Press, 2002, 6-8.
[3]Karl .J. Daman, China and Knowledge Economy; Grasp the 21centure (World Bank Report) [R],
translated by Xiong yizhi and others, Beijing: Pekin University Press, 2001,
[4] Sustainable Development Research Team of China Academy of Science: Report of China
Sustainable Development of 2001 [R], Beijing: Science Press 2001, P64
[5] ZHENG Zhong, China Real Estate Market Metaphase Review and Expectation of 2007[N], China
Land and Resource News[Real Estate Weekly], Beijing: ministry of China Land and Resource, 207,7,31
[6]LIU Jiang, China Resource Utilization Strategy [M], Beijing: China Agriculture Press, 2002, P5
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