A Study On Alternative Path Of Realization And Institutional Innovation Of The New-type Industrialization In China

Since 1990s, the development of international economy and human society has been deeply influenced by the global information-based tide. In this case, China must incorporate herself to the globalization and information-based processes from high levels and all of directions. But on the contrary, China is still at medium stage of industrialization on the whole, which can be shown by the conspicuous contradiction of dual-structure, the bad competitiveness of industrial structure, the low levels of agricultural modernization, urbanization, service, trade industry, the technological levels of industry, as well as manufacturing industry. So, it's an important and arduous historical task to continue industrialization and information-based process in the modernization of our country. The New-style Industrialization (NSI) has been a hot topic after it was mentioned in the report of the 16th Representative Conference of CPC, which focuses on promoting the informationization with industrialization, making a new-style industrialization framework with high technology levels, earning good economic profits, consuming little resources, less polluting environment and improving employment. But among many papers on this issue, only few about the strategic choice and path innovation and institutional arrangement can be found. In this paper, we think that, firstly, China's New-style Industrialization is not a copy of industrialization in developed countries, but a kind of innovation to meet the new trend of economic development in the world. Secondly, The NSI framework should be well coordinated with industrialization, urbanization and informationization, etc. Moreover, NSI should deal with the constraints of resource limitation, environment protection, economy growth, population increasing and employment need dual-structure. In these cases, we studied the literatures on industrializations, structure optimization, industries development and institutional economics; continually we use the theories and methods of development economics, industrial economics and institutional economics, to prove our framework on the development path of NSI. In this case, we regard the NSI development path as our perspective, and also make research on NSI's total strategy, industry merging, institutional innovation along the thread of the great-leap-forward development and institutional arrangement of economic structure. So, there are not only important theoretical meanings, but also a practical guideline to build our rich and harmonizing society. On the basis of the development economists' studies to industrialization this paper proves that the NSI is a Chinese-characterized industrialization way, by which China is focusing on the contexts of economic globalization and knowledge economy. Basing on the dynamic comparative advantage theory, and from the point of view of Chinese present and potential comparative advantages, the essential of NSI is a process in which knowledge becomes endogenous production factor from exogenous production factor, incorporates to all of production factors to reform traditional industry information, improves the technologic concentration ratio in traditional industries, and enhances the whole structure and qualities of traditional industries. The structural adjustment and update is the thesis of economic growth and development in industrialization stage. The knowledge economy provides technological tools for the reformation to traditional industries, and provides a chance for the industrial upgrade in less developed countries. The core of NSI is to reform traditional industries through information technology, and make informationalization realize industrialization. The incentive of NSI is to improve the structural efficiency. The key for the switch of industrial structure reformation is to coordinate the relationship between traditional industries and high-tech industries. The most critical to practice the NSI is to create effective institutional arrangement for it. The latter development advantage in LDCs' is only a theoretical potential advantage. The former condition for changing the potential advantage to practical advantage is to build effective institutional basis and policy guarantee. The comparative studies on the world economic history shows that the institutional innovation is the most important factor that makes America and Germen catch up with British. In Asia, many Eastern Asian countries took Japanese, not western developed countries, as their model. The main reason, for many less developed countries' economic successes, is institutional innovation. Comparing with others studies, the innovations of this paper, firstly, is to define the New-style Industrialization, and deeply analyze the contents and strategic orientation and the framework of NSI; secondly, it is to show the way of thinking to accelerate theinformation industry incorporation, analyz the path dependence of informationalization reform to traditional industries, urbanization and NSI coordination; thirdly, it is to practice our strategic framework, policy advice and institutional arrangement to the new-style industrialization.