Regional Patterns in the Marketization Index and GDP Growth Across China’s Provinces

Jinjia Guo

doi:10.54097/v70fsf12

Authors

Jinjia Guo

DOI:

https://doi.org/10.54097/v70fsf12

Keywords:

Marketization index, GDP, China’s provinces, Line chart, R² value

Abstract

The paper focuses on the fields of marketization degree and economic growth. The research questions include two parts: What is the relationship between the marketization index and the GDP of China’s provinces? What are the reasons for the differences in the marketization index and GDP growth among the four types of provinces? The study finds a positive relationship between the marketization index and GDP of China’s provinces from 2008 to 2016. By drawing line charts of the marketization index and the GDP each year, the research classifies 31 provinces into four types of provinces according to their growth stabilities (R² values). Based on previous research, the marketization degree contributes to economic development. As a result, the study concludes that GDP increases along with the growth of the marketization index in the long term. The essay also explores the reasons for the differences among the four groups of provinces. The government can reduce its intervention in the economy and cultivate highly qualified workers to enhance the marketization degree and economic development.

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References

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