An explanation on the riddle of Zhejiang province economy growth based on the dynamics system model

This paper establishes a new model and points. In competitive environment, the performance of regional economy growth depends oil both internally from regional factor structure and regional development strategies, and externally from the rivals' strategies and the distribution of consumer preference. If the underdeveloped regions want to achieve continuous, fast, and steady development, they have to ensure three conditions in major industries. First, a fast cutting cost rate against the rivals should be achieved. Second, a better consumer distribution should be ensured. Third, the stability of leading edge must be guarded. On the basis of the principle revealed by evolution of the model, the riddle of Zhejiang provincial economy growth is well illustrated in this paper.