Industrial Agglomeration Analysis Based on Spatial Durbin Model: Evidence from Beijing-Tianjin-Hebei Economic Circle in China

Based on the data of Beijing-Tianjin-Hebei Economic Circle from 2010 to 2019, this paper uses the spatial Durbin model to empirically analyze the impact of financial development and technological innovation on industrial agglomeration. The following are the conclusions of this study: (1) financial development has a positive effect on industrial agglomeration; however, a significant difference exists in the weight effect of the geographic distance matrix compared to the weight of the economic distance matrix; (2) in the spatial Durbin model with two matrix weights, technological innovation has a significant positive effect on industrial agglomeration; and (3) in the spatial Durbin model with two matrix weights, the interaction has a significant negative effect on industrial agglomeration. Therefore, the government should further implement the coordinated development strategy, promoting regional technological innovation for a long time to realize its integration with financial development.