Empirical Analysis of Regional Economic Impact Assessment of Large Construction Projects Based on Regional Input-Output Model: Case Study on the Construction Project of Baihetan Hydropower Station

The large-scale construction projects have significant impact on regional development, so the rational evaluation theory and methodology become the key factors on deciding whether the large construction project is feasible or not. However, the related theoretical and empirical research is still very weak, and the analysis and evaluation tends to have a certain degree of subjectivity and arbitrariness. Based on the characteristics of the role of large construction projects on regional development, as well as the objectives and requirements of the project decision-making, we establish a local closed input-output model to analyze the regional economic impact of large construction projects, in order to increase the specification and rationality of the quantitative impact measurement, such as economic growth, industrial structure, employment and urbanization, and improve the scientific nature of decision-making. The Baihetan hydropower station construction project is selected as case study of empirical research. We prepare the comparable local closed-type input-output tables of Sichuan and Yunnan provinces and use the local closed input-output model to analyze and estimate the economic impact of large construction projects on regional economic development. Studies have shown that Baihetan hydropower station construction have positive role and significant impact on the economic development of construction area of Sichuan and Yunnan provinces, such as promoting regional economic growth, accelerating the process of industrialization and ur-banization, the expanding employment opportunities, optimizing the industrial structure and so on.