The Dynamic Spatial Effect of Regional Economic Growth in China: Based on the Perspective of Trade Openness

The development of dynamic spatial econometrics provides a new research perspective for the study of the spillover effects of trade openness on the economic growth. Based on 1987-2013 inter-provincial dynamic spatial panel econometric model, this article studies the dynamic spatial effects of trade openness on regional economic growth. Our study shows that significant positive spatial effect exists in the regional economic growth in China and after controlling the spatial effect, trade openness promotes China's regional economic growth. However, due to the degree of difference in the level of regional economic development, public infrastructure, human capital, technical ability and labor market, spatial heterogeneity of the role of trade openness on the economy growth exists among the eastern, central and western provinces.