| Resource-Based Industrial Transition is a world economic problem.With the continuous development of the economy, continuous upgrading of industries, and the rising cost of resources, the development mode relying on lots of resources inputs in the past will gradually phase out. How to carry out industrial restructuring and its related issues such as required security conditions needed to be addressed immediately becomes a project for the government. At the beginning of the 1970s, western countries began to initiate planning resource-based industrial transition. The government-dominant and with high input compensation mode was implemented. Government invested a lot of capital on pollution abatement, employment placement and infrastructure and so on so as to upgrade the existing industries. Generally speaking, industrial upgrad and transition is dominated by enterprises, and the government only adopts policies to guide their way. However, resource-based industrial transition is dominated by the government and requires a lot of government investment.At present, China's economic development is still heavily dependent on and in heavy need for resource-based inputs such as coal, petroleum and mineral products. Therefore, reseource-based industries are playing a "growth pole" role in national economic growth process. The base formed around resources is usually called resource-based cities, which plays a positive role in accelerating China's urbanization process. Most of China's resource-based industries are dependent on resource bases, and highly dependent on depletable resources, which results in an industrial mode called resource dependence. Entering into the 21st century, the state and the community are increasingly concerned about resource-based industries. On one hand, sustainable development has become a major theme of world development; on the other hand, China's resource-based industries are facing increasingly acute contradictions which will have erious negative impact on the national economy. "National Economic and Social Development Five-Year Plan" clearly states that "the Establishment of Mechanisms for Resource Development and Compensation Mechanisms to Aid Declining Industries, To Grasp Fuxin, Daqing, Yichun and Liaoyuan and Other Resource-Exhausted Economies of Cities," the CPC Central Committee on "Implementation of Northeast Old Industrial Base" also said that "Resource-Based Economic Transformation of the City is the Key and Difficult Task for Transforming the Old Industrial Base." Thus, the resource-based industrial restructuring has become almost the urgent task and crucial strtegic choice for all resource-based cities.Compensation mechanism for resource-based industries plays an important role in guaranteeing smooth transition of resource-based industries. As China's needs for GDP growth, the over-exploitation phenomena of resource-based industries are ubiquitous. Most resource-based cities will consider industrial transition only after resources are depleted, which is called the passive transformation, which bears some adverse factors such as long term, bad effect and high costs. It is impossible to solely rely on the strength of enterprieses and local government to bear the high costs incurred by resource-based industrial transition. In this case, the compensation mechanism becomes more and more important. And how to design scientific and appropriate compensation mechanism for countries for different types of resource-based industries to protect the smooth transformation of resource-based industries has become an important research topic.As far as compensation mechanism for the resource-based industries is concerned, theoretical research is clearly lagging behind the policy, and in academia still does not have a unified and clear definition. Many countries have started to try and discuss it in a wide range. Many countries have adopted a series of compemsation measures such as the exit compensation mechnism, re-employment compensation, ecological compensation, and nurturing new industries compensation and etc. These are largely due to the urgency of national industrial restructuring need.From the theoretical perspective, there are little systematic description of the theories of resource-based urban transformation in domestic academic circles. Their research are mainly concentrated on mining city transformation, which is consistent with the major problem in China.At the early start of P.R.China, there has been a large number of resource-based cities, but during that period there were lots of reserves, and industrial transformation was not the problem. In the 1980s, with the reform and opening up policy, the economic development is gradually on the right track, and a number of resources cities have begun to face the problem of transformation after ethe xhaustion of resources, industrial transformation for resource-based cities then gradually raised the concern of the government and economists.The paper, based on China's resource-based industry, focuses on the compensation mechanism of its transformation, and thus comes to some policy implications for the relevant departments for reference. This paper will start from the relations between industries and enterprises, the meaning of industrial transformation, and the meaning of compensation mechanism. It explores the contents of the compensation mechanism for resource-based industries in transition. Furthermore, through the establishment of the compensation models for resource-based industries in transition (including resource-based business exit & compensation model, employee relocation compensation model, compensation model of the ecological environment, land acquisition compensation and intellectual input compensation models). On these bases, the paper adopts mining industry as a case study to study industrial transformation compensations for resource-based industries in China. Finally, in combination with the analysis, the paper puts forward some recommendations for the implementation of the use of funds and compensation mechanisms.The innovation points of this paper are establishment of compensation models for resource-based industrial transition, combination of specific case study, and the use of the scientific development concept and method to analyze the compensation mechanisms. This paper for the first time makes a quantatative analysis of the compensation for resource-based industries in transition and set up a compensation model. The paper will improve the resource-based industry restructuring and transformations of resource-based cities have a practical guidance and reference for decision-making.Specifically, the paper consists of seven parts.Chpater I is introduction, which introduces the background, significance and current research status of the compensation mechanism for resource-based industrial transition, which will lay a solid foundation for the later chapters;Chapter II is the meaning and content of the compensation mechnism for resource-based industries in transition. The meaning consists of three levels:namely, resource development compensation mechanism, and alternative mechanisms to aid declining industries and substitute industry support mechanisms; Chapterâ…¢is the establishment of compensation mechnism models for resource-based industrial transition;Chapterâ…£is the implementation of the compensation mechanisms for resource-based industries in transition with mine industry as an example;Chapterâ…¤is the case study of compensation mechanism for resource-based industries in transition;Chapterâ…¥is the conclusion, which makes a summarization of the paper and puts forward some issues yet to be resolved.
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