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ISSN : 1738-3110

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Vol.13 No.4
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The Interactive Relationship between Small and Medium-sized Enterprises' Clusters and Regional Economic Growth

The Interactive Relationship between Small and Medium-sized Enterprises' Clusters and Regional Economic Growth

The Journal of Distribution Science(JDS) / The Journal of Distribution Science, (P)1738-3110; (E)2093-7717
2015, v.13 no.4, pp.29-33
https://doi.org/https://doi.org/10.15722/jds.13.4.201504.29
Rong, Wang (Nanjing University of aeronautics and astronautics Jincheng College)
Li, Xu (Jiangsu)
Rong, Wang, & Li, Xu. (2015). The Interactive Relationship between Small and Medium-sized Enterprises' Clusters and Regional Economic Growth. The Journal of Distribution Science(JDS), 13(4), 29-33, https://doi.org/https://doi.org/10.15722/jds.13.4.201504.29
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Abstract

Purpose - This paper aims to explain the interactive relationship between small and medium-sized enterprises' clusters and regional economic growth, with Jiangsu Province as an illustrative example. It focuses on studying the promotional effects, if any, of small and medium-sized enterprises' cluster-development on regional economic growth, and vice-versa. Research design, data, and methodology - Data were collected from the Jiangsu Statistical Yearbook and the China Industrial Economic Statistical Yearbook, by selecting 26 industries as the research subjects. The sample interval selection is 1981-2012. The data were analyzed with the dynamic panel system using stata 12.0. Results - 1) The small and medium-sized enterprises' cluster degree and Jiangsu's economic growth have a long-term stable equilibrium relationship. 2) In the short term, they have a dynamic adjustment 3) The enterprises' cluster degree leads to regional economic growth in Jiangsu, but not vice-versa. Conclusions - Small and medium-sized enterprises' clusters have an important promotional effect on Jiangsu's economic growth, especially industries with high degree of agglomeration. Therefore, the formation of these clusters can significantly improve economic growth.

keywords
Jiangsu, Small and Medium-sized Enterprises Cluster, Economic Growth

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