Administrative urbanization and its impact on local economic development : a case study of Tongzhou District in Beijing

Abstract

How administrative urbanization as a policy tool affects the economic development of local administrative units in China's specific political and economic environment is an important research topic. Unlike other types of urbanization that are primarily driven by market forces or natural population growth, administrative urbanization in China is characterized by government-led implementation of infrastructure projects through policy actions and programs. Administrative urbanization is distinguished from market-driven urbanization processes through strategic government resource allocation and policy implementation to reshape the local economic landscape. This paper defines administrative urbanization as a policy tool that is a government-led strategy to advance the means of urban construction and economic development. This paper takes Tongzhou District in Beijing as an example to analyze the specific impact of administrative urbanization on local economic development. The study aims to explore the impact of this process on the economic development potential of Tongzhou District from the perspective of administrative urbanization, and to reveal its role on the local economic structure and development model by analyzing changes in administrative urbanization. This study uses a combination of quantitative analyses (VAR model) and interviews. The VAR model is used to conduct regression analysis of the economic development and administrative urbanization process in Tongzhou District, while first-hand information is collected through interviews with local government officials, entrepreneurs’ representatives, and ordinary residents to gain a comprehensive understanding of the impact of administrative urbanization on the local economy development. In this paper, the concept of administrative urbanization is quantified into three aspects through the Comprehensive Measurement Indicator System of China's Urbanization Level, which are population, land and social aspects. It is found that the quantitative indicators of administrative urbanization represented by agricultural population, primary school enrolment, kindergarten enrolment, and the total mileage of roads and highways have a more significant impact on local GDP. The decrease in agricultural population and the increase in primary school enrolment indicate that the government has facilitated the urban transfer of labor and the enhancement of human capital through the reduction of agricultural dependence and the enhancement of educational facilities. The expansion of roads and motorways shows the government's investment in infrastructure development. In addition, the paper reveals the challenges and problems that may be faced during administrative urbanization, such as the remaining gaps in investment in infrastructure and education. The findings not only help policy makers optimize administrative urbanization strategies for more effective and sustainable local economic development, but also provide valuable lessons and insights for other regions.