growth pole
The so-called growth poles that have catalytic economic unit, or with a catalytic unit features a collection of spatial aggregation. Economic growth first appeared and concentration in the industry with innovative ability. These industries have the ability to innovate often gather at some point economic space, so he formed a growth pole. Economic growth is usually gradually transfer from one or several "growth centers" to other sectors or regions. In other words, as a growth pole, it is not primarily a large integrated sector or region, but as the presence of large integrated sector or area of a "point." Of course, this "point" there are also big small. Growth pole is the dominant industrial sectors around the advance of organized dynamic of a group of highly integrated industry, it can not only growing rapidly, and drive growth through the multiplier effect in other sectors. Economic space is the use of economic variables in geographic space or on, the complex has a growth pole in town to promote the type of industry that appears. Therefore, the growth pole refers to the industrial complex in the city of configuration expanding, and guide the further development of economic activities within the sphere of influence.
It is to promote the type of industry or business, while increasing product or service, to increase the level of output and the purchasing power of several additional industry has a direct or indirect role in promoting the national economy, with a strong relevance, radiation and sex drive.
Theory Development
growth pole theory was originally proposed by the French economist Peru (francois perroux), and later French economist cloth De Vere (jbboudeville), American economist Friedman (john. frishman), Swedish economist Myrdal (gunnar myrdal), American economist Albert Hirschman (aohischman) were further enriched and developed the theory in varying degrees. Growth pole theory: for a country to achieve balanced development is only an ideal, it is not possible in the real world, economic growth is usually gradually transfer from one or several "growth centers" to other departments or regions. Therefore, you should select specific geographic space as a growth pole, in order to promote economic development.
theoretical effect
the role of growth pole of economic growth in the region generated is enormous, mainly in: First, the regional economy. Economic position is due to engage in an economic activity, a number of companies or a few closely linked to economic activities are concentrated in the same location generated. For example, a specialized production of productive sectors concentrated in one area, you can co-cultured with the use of local skilled labor, strengthen technical exchanges between enterprises and shared investment in new product development, may form a larger raw materials purchased goods market demand and the production and supply of products in the market, so that the active economic activity, forming a virtuous circle. Essence of economic position is obtained by geographic location close to the overall economic efficiency. Second, economies of scale. Economies of scale due to the increase in the scope of economic activities to obtain internal savings. As it can improve the degree of division of labor, reduce management costs, reduce advertising costs and non-productive expenditure allocation of shares, the marginal costs to obtain labor productivity. Third, the external economy. Externalities is an important reason for the formation of a growth pole, it is also an important result. Concentration of economic activity in a certain area tend to make some manufacturers can not cost less to spend cost of access to certain products and services, so as to obtain an increase in overall revenue.
In order to promote growth pole of the form, should be committed to promoting the development of enterprises and to promote the enterprises as the leading industrial complex. Promote enterprise and industrial complex through technological innovation, promote and stimulate the rapid growth of the regional economy. Innovation is the driving force generated polarization effects, innovation is not only the individual enterprises to improve production efficiency, but also have a major impact on the local and surrounding areas through innovation. From a technical perspective, technological innovation activities in the business growth pole output growth, return on investment is much higher than similar enterprises in backward areas, causing around other businesses learn from and emulate; in terms of social structure, the existing innovation social values, behavior and structure easier to change direction towards the transformation to adapt innovation results, and is the basis for the next innovation activities; from a social psychological perspective, innovation and strengthen the progressive awareness of social groups, while promoting the surrounding areas of labor to change yourself into growth centers of comparative disadvantage and strive to improve their quality.
theoretical advantages
Since the growth pole theory proposed by many countries to solve different problems of regional development and planning, because it has the advantage of other areas of economic theory can not match : first, growth pole theory more realistic description of the process of social development. Neo-classical economists believe in a balanced, he said that economic factors space configuration can achieve Pareto optimality, even if deviation occurs in the short term, in the long run will return to a balanced position. Peru advocated asymmetrical relations of domination that the economy once from the initial balance, movement in this direction will continue, unless there are external forces pushing in the opposite direction will return to a balanced position. This is very consistent with the presence of regional differences reality. Second, the growth pole concept attaches great importance to the important role of promoting innovation and enterprise, encouraging technological innovation, in line with the dynamic trend of social progress. Third, the growth pole concept in the form of simple, easy to understand, very attractive to policy-makers. At the same time, growth pole theory put forward some effective policies to facilitate the operation of the policy makers acceptable. For example, Peru that modern market is full of monopoly and imperfect, can not achieve on their own rational choice and environmental management issues to promote enterprise and, therefore, the government proposed to deal with some advance planning and enterprise subsidies.
Theoretical Limitations
However, growth pole theory has its obvious defects. Due to the accumulation of cause and effect cycle, the emergence of growth poles will have two effects on the surrounding areas: First, the echo effect. Developed regions appears more and more developed, more and more developed regions lagging behind, more and more prominent economic imbalance, and even the formation of a dual economy in the situation on National Geographic. Second, the diffusion effect. That led to a very rapid economic development in the surrounding backward areas through the establishment of growth, so as to gradually narrow the gap with the advanced countries. If the diffusion effect is greater than the growth pole of the echo effect, will promote economic development in surrounding areas together. However, because of cumulative causation, the echo effect is often greater than the diffusion effect, resulting in more developed regions growth pole, surrounding areas and further behind, forming a dual economy geographical space, the expansion of regional economic disparities, and even the formation independent of the surrounding area "enclave." I can also be obtained confirmed by observing the city in Hebei province near Beijing, such as Baoding, Langfang and other economically backward. Growth pole of the negative effects specifically in the following aspects: first, the growth pole of development has led to the outlying areas of the capital raising difficulties. Growth pole has a good investment environment and favorable investment profits and growing demand in the market, these factors attract banks and other financial institutions to convert savings backward areas of economic investment in economically developed areas; and outlying areas because of the economic base is obsolete and low investment income, capital outflow, resulting in decreased accumulation of capital, capital shortage and the increasingly depleted, any modern industry are difficult to start. Second, the economic development growth pole of the outlying areas of the shortage of talent, economic development has been greatly restricted. Growth pole has a great advantage in terms of jobs, wages, working conditions, the degree of diversification to meet the individual needs of their children to school and employment, these advantages to attract workers outlying areas of backward and various professionals in various ways there have flow, results in enhancing the growth pole of development capacity, but then the outlying areas resulted in a very negative impact. Third, the growth pole of development has led to the deterioration of trading conditions outlying areas. Due to geographical proximity, growth pole and the outlying areas of regional trade is bound to happen, the former industrial output, mainly capital goods and primary products from the latter input; the latter in the production and export of primary products based. Low and unstable prices of primary products, and the lack of elasticity of demand, competitive situation and therefore trading conditions favor the former to the detriment of the latter. In short, the polarization effect is often at the expense of growth pole development at the expense of outlying areas.