Regional Potential Comparative Advantages and Industrial Upgrading
To further explore the factors that promote regional industrial upgrading is an important link in the process of establishing a modern industrial system.Based on the perspective of product relatedness,this paper constructs an index of PSP(product space position).Compared with existing methods,this index is more suitable for analyzing the industrial upgrading problem within the sub-national level.The PSP index is used to measure the potential comparative advantages at the city-product level in China and study its impact on local industrial upgrading.It is found that the potential comparative advantage level of a region will significantly affect the industrial upgrading process of the region.Furthermore,regions with relatively low economic development level and industries with relatively high technology intensity are less dependent on regional potential comparative advantages.Finally,the evolution process of product space structure reflects that there are still problems of low efficiency of resource allocation and insufficient driving force of innovation in the process of industrial development.
subnational levelproduct space positionpotential comparative advantagesindustrial upgrading