Contemporary Finance & Economics ›› 2021, Vol. 0 ›› Issue (3): 3-14.

• Theoretical Economics •     Next Articles

An Analysis of the Mechanism of the Promotion of Enterprise Productivity by the Strategy for the Rise of Central China: Based on the Breakpoint Regression Method

LI Wei-bing, LIU Mei-yuzi   

  1. Huazhong University of Science and Technology, Wuhan 430074, China
  • Received:2020-10-10 Revised:2021-01-08 Online:2021-03-15 Published:2021-03-16

Abstract: As a major strategy to promote the common rise of the six provinces in the central area, the strategy for the rise of Central China has an important impact on the economic development of the Central Region. This paper conducts an empirical research with the geographic breakpoint regression method. The findings show that the strategy for the rise of Central China can significantly promote the productivity of firms in the central region. This conclusion is still valid after a series of robustness tests such as substituting variable index, performing bandwidth sensitivity test, performing execution variable manipulation test, conducting control variable continuity test and non-parametric estimation. The results of further study show that the strategy for the rise of Central China may have a positive impact on corporate productivity through increasing labor supply, attracting foreign direct investment, increasing human capital accumulation and so on. From the perspective of enterprise development, the research conclusion explains the promoting effect of the rise of Central China on the economic development in Central China, and provides new ideas for the promotion of the economic development of the central region.

Key words: the strategy for the rise of Central China, productivity, labor supply, breakpoint regression method

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