A Positive Analysis of the Relationship of Informatization and the Urban Economic Growth of Beijing

The relationship between informatization and economic development is very close. Informatization can promote rapid economic growth. Conversely, more economic development creates favorable conditions for the development of informatization. Over the past 10 years, Beijing’s economy has shown a sustained and stable growth, which is related to the role of informatization and its support. In this paper, Beijing’s informatization level was first measured using related statistical data of Beijing (1998-2006). Second, the correlation between the urban informatization level and the economic growth level was analyzed by the Regression Analysis Method. The result shows that the development of informatization had greatly promoted economic growth. Third, each factor contributing to Beijing’s economic growth was analyzed by the improved C-D Model; this analysis indicates that information had become “the first major production factor” affecting the economic development of Beijing; the quality of laborers should be given attention in labor’s input; and the influence of other factors except labor, capital and information can not be ignored.