An Empirical Study of Factors Affecting China's Regional Service Industry Development

Abstract

The goal of this paper is to analyze the factors affecting China's regional service industry development. Firstly, we make an analysis on the limitations of the traditional zoning methods for service industry development, and make regional cluster analysis on the development level of service industry. Then, we also build the empirical models according to the theory of regional services, pending empirical test. Thirdly, we fit regression equation with the Eviews software and exclude some non-significant variables, and find that the statistic is large and pass the test under the condition of 1%, the equation successfully pass the significant test. Finally, we make an empirical analysis on the factors affecting regional service industry, and find that the existence of squeeze, the regional government, the consumer demand, and the regional infrastructure affect the development of regional service industry in different ways.