Government Competition, Transportation Infrastructure Construction and Industrial Agglomeration

Abstract

This paper uses the prefecture-level data from 2003 to 2016 of the Yangtze River Delta region of China and uses the spatial Dubin model(SDM) to study the promotion effect of transportation infrastructure on industrial agglomeration and the spatial spillover effect: First, it is found that there is a significant positive spatial correlation between transportation infrastructure development at the prefecture and city level governments in China, which supports the hypothesis of intergovernmental transport infrastructure competition in this paper; secondly, the regression of the spatial measurement model proves that transportation infrastructure has a certain role in promoting regional industrial agglomeration, and enhances the level of industrial agglomeration in the surrounding areas through spatial spillover effects; in addition, this article uses the Spatial Dubin Model(SDM)) partial differential decomposition method to explore the spatial spillover effects of transportation infrastructure on the flow of elements (this paper explores the spatial spillover effects of transport infrastructure on factor mobility using a partial differential decomposition of the Spatial Durbin Model(SDM)); finally, the robustness of the results of this paper is tested using the replacement space weight matrix and estimation method.