The Efficiency Of The Transaction, The Division Of The Evolution Of The Dual Economic Structure Transformation

As part of Development Economics, the theory of dual economy is facing great challenges and has internal requirement for innovation. Accordingly, as a basic feature of economic system, dual economic structure in China is also in urgent need of transformation, which has to be guaranteed by effective measures. Hereinafter, in stead of thinking from resources allocation's point of view, using the analyzing measure of New Classical Economics, we try to draw a comparatively systematic theoretic framework on dual economic structure from the point of the evolution of labor division, from which we can make out the characteristics of dual economic structure in China and find out the final resolution for its transformation.On the level of theory building, this thesis comes to the following conclusion based on document summarization: comparing with resources allocation, division of labor is a new point of view for studying dual economic structure. From two models, we conclude that the opposing reasons of dual economic structure lies in the differences in level of specialization, production roundaboutness and diversification of products. That is to say it is the different level of labor division that leads to the formation of dual economic structure. With the development of labor division, the transformation trend for dual economic structure is industrialization, the prosperity of service industry and the development of urbanization. The key point is: as the evolution of labor division is affected by transaction efficiency, when the profit of labor division is fixed, transaction efficiency is based on transaction cost that is decided by transaction technology and transaction institution. Therefore, the decisive variables for transformation of dual economic structure come to transaction cost, transaction efficiency, and evolution of labor division. If the above-mentioned variables can exert positive effect, the transformation of dual economic structure will be successful, which is represented by encouraging manifest in market promotion, resources allocation, income allocation, region development and intellectual expansion. Finally, we conclude an Inverse U Curve that depicts the whole process of dual economic structure from production to transformation. Thus, from the point of labor division and transaction efficiency, we give out a theoretical framework on the formation reasons, transformation trends, attributing factors, transformation outcome and the whole process of the transformation.On the level of application study, this thesis analyses the problems in the dual economic structure in China using the above-mentioned theory. First, we measure the evolution process through index, from which to point out the basic features of the evolution. These features are longitudinal progress, transverse lag and regional difference, especially the problems of low efficiency of resources allocation, backwardness of urban development, increasing difference between urban and country, imbalance of regional development and lag of agriculture development, etc, caused by relatively backwardness. We put the emphasis on the reasons for the aboveproblems. Econometrics model shows that the dual economic structure transformation in China really shows the trend of industrialization, the prosperity of service industry and the development of urbanization. So our analyze follows the clue of labor division, transaction efficiency and transaction cost. We find that both transaction technology and transaction institution show the characteristics of longitudinal progress, transverse lag and regional difference. This can explain the feature of dual economic transformation in China. Especially when transaction cost is mixed with the background of transformational economic structure, the dual economic structure in our country becomes a "development problems in transformation process". Following the above logic, we propose the background, principle and route of dual economic transformation in our country. The core of the route is to cut transaction cost,...