ABSTRACT

In “post-industrial” societies, economic transformation occurs not only from the agricultural, to the manufacturing, then to the service sector, but also from consumer to producer services. The transformation of the urban economy in Western cities has led to significant changes in urban systems (Pred 1977; Hanso 1983). Among service industries, producer services comprise the most important service industry in the city’s development, and consequently, its position in a broader regional system (Moyart 2005). The rise of producer services since the late 1970s has dramatically reorganized regional economies, urban hierarchies, and the geography of interdependence within the urban system (Bourne 1991; Esparza and Krmenec 1994). China has undergone profound economic restructuring over the past three decades. Existing research on China’s post-reform urban development has highlighted the impact of industrialization, especially town and village enterprises (TVEs), on urbanization in China with increasing attention on the growth of the service sector. However, there is relatively little research on the role played by producer services, despite the rapid growth of this industry since the 1990s.