Abstract:
Considering the spatial dependence,this paper uses the Spatial Panel Durbin Model to explore the relationship between urban primacy and economic growth empirically and also divide the total effects into indirect and direct effects.It reveals that there is no empirical evidence to support the non-linear relationship between the degree of urban primacy and economic growth in China;in the short run,the effect of one province’s urban primacy on this region is not significantly positive but on its neighborhood significantly negative;in the long run,the indirect effects and direct effects of urban primacy on economic growth is not significantly positive and significantly negative respectively from 1989 to 2009.Leading strategy enhances economic growth and hinders the neighborhood economic development in the short run and it should adopt a balanced strategy because local economy will be pressed in the long run and enhance cooperation between regions for policy making in different levels of government.