The Institution Factors Analyses And Role-Orientation & Transformation Of The Institutional Innovation Protagonist In Western China's Economic Development

This research paper is based on the following background: First, the tendency that China' s regional differences trend to extend; Second, the factor that China persistently endeavors to reduce the regional differences since its establishment and now is striving for this direction; Third, the phenomenon that institution factors in Regional Economics receive less attention and deficiently substantial analyses. This research theoretical significance in developing Economic Growth Theory and diversifying Regional Economics Theory. In addition, it is realistically and considerably helpful to expedite the development of western China' s economy, reduce the differences of regional economy, and ultimately, actualize an overall, coordinated and sustainable development.The article is composed of the following aspects: The relationship among institution, institutional innovation and economic development; China's regional differences and the analyses of their causes; Analyses of institution drop elevation between Eastern regions and Western regions; Institutional uneguilibrium in Western regions; The institutional innovation method of western regions; The role orientation of institutional innovation protagonist in western China' s economic development.According to these analyses, the following conclusions, containing the innovation of this paper, can be drawn. First, institutional innovation and economic development have reciprocal effect on each other-institutional innovation will promote economic development; also, economic development will accelerate institutional innovation. Second, institution difference is the core impactful element in the formation of China's regional differences in spite of many in the formation of China' s regional differences in spite of many other influences. Correspondingly, institutional innovation is the most crucial method of all in narrowing regionaldifferences. Third, the institution drop elevation between Eastern regions and western regions is manifested in terms of formal system drop elevation such as property rights system, market system, etc, as well as informal institution drop elevation, such as market economy concept, employment concept, etc. Institutional innovation is the key to eliminating the institution drop elevation. Western regions at present phase are more badly in want for eliminating the informal institution drop elevation via informal institutional innovation, rather than eliminating the formal institution drop elevation via formal institutional innovation, which is also of high indispensability. Forth, at present, western regions are in phase of institutional unequilibrium. The layout of the coexistence of "institution shortage" and "institution surplus" is the very expression of institutional unequilibrium. However, it is more important in current western regions to clean off superfluous institution in order to solve the problem of "institution surplus" than to supplement institution supply so as to solve the problem of "institution shortage". On the other hand, institution supply expansion is of institutional innovation. Equally, superfluous institution removal is actually of institution innovation as well. Fifth, institutional innovation in western regions should emerge inertly evolve spontaneously, progress and advance gradually. Meanwhile, institutional innovation should undergo within a certain frame and conform to the current situation of western regions. Sixth, there are three tykes of institutional innovation protagonist in western China's economicdevelopment. They are: macro-protagonistt-he control government,neutron-protagonist-local governments, and micro-protagonist-enterprises, residents and social intermediary organizations. These three protagonists have their respective advantages and disadvantages. Every institutional innovation protagonist owns various comparative superiorities with different modes of resource distribution in distinct stage of western China' s economic development. The author of this research paper gives institutional innovat...