| The paradox, of"State Advances, Private Retreats" is an arguing topic in recent years. Especially after the outbreak of financial crisis, people began to focus on this topic. The government avoids direct comments on it, while pras and cons are raised from the academic circles. The existing discussions of"State Advances, Private Retreats" are just limited to experts' comments, with few systematic study. Whether this issue is existed, how it is aroused in the institutional environment of our country, and what's its effect to our market economy and enterprise development, all these issues need to be studied. This paper studies"State Advances, Private Retreats" and its economic results based on new institutional economics theory and industrial economics theory.This, paper begins with comments on existing national and international related research documents. Secondly, it turns to basic theory analysis with state theory, institution change theory, and industrial economics theory to be the main theoretical basis to analyze this paradox. Then it gives detailed argumentation to the current situation, influence factors, and economic results of the paradox Through descriptive statistical test of the existence and basic theory analysis of the paradox, this paper finds out its influence factors and relating economic results. And finally, it brings forward policy suggestions based on above analysis, and gets the conclusion. There are two innovations in this paper. The first one is theory innovation. This paper combines institutional economics theory and industrial theory to study weak country but strong nation paradox, and discuss its significance and effect from institutional environment and entering or exiting trade barrier. The second innovation is method innovation. This paper applies descriptive statistical test to verify the existence of the paradox, and explains it and its economic results by both normative study and empirical analysis. |
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