Study on Chains of Information Industry based on Average Propagation Lengths and Minimal Spanning Tree

Abstract

Compared with the traditional methods of using industrial linkages to analyze the industrial chain, this paper introduces the theories of economic distance and graph theory to analyze the information industry chain. Industrial linkages reflects the size of economic and technological connection, and economic distance measures the distance between industries. The minimum spanning tree in graph theory measures the position of each industry in the information industry chain. There are complex indirect dependence and direct dependence in the industrial chain of electronic product manufacturing. The economic distance with most industries is 2 and 3, and most of the associated industries are manufacturing. The industrial chain of information service industry is relatively simple. Most related industries belong to the tertiary industry, and the economic distance is relatively close. The minimum spanning tree of information industry shows the central position of metal ore and metal smelting, and shows that the information industry chain still depends on metal ore resources. Using the time series input-output table, this paper analyzes the development and changes of the information industry chain, and finds that the information industry chain is relatively stable in this time span. Finally, it compares the difference between the competitive model and the non competitive model to measure the information industry chain. Using the non competitive model, it is found that the information industry chain becomes shorter and the economic distance between industries is closer.