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An empirical study on the relationship between equipment manufacturing industry and economic growth in a certain area

Author(s): Yanlin Su, Zhiwei HeLian

In this paper, the relationship between equipment manufacturing industry and economic growth is analyzed: based on actual calculation, the input-output table, and the econometric model, the direct and indirect contributions of equipment manufacturing industry to economic growth, as well as the dynamic relationship of the two are examined. We conclude that the equipment manufacturing industry makes certain contributions to economic growth, though the contribution rates are fluctuating; the influence coefficients indicate that it has a strong impact on other sectors, whereas the low sensitivity coefficients show it is less stimulated by the demands of other sectors; the dynamic relationships of the two indicate the pull effect of economic growth on equipment manufacturing industry is not obvious, but equipment manufacturing industry promotes economic growth to some extent

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