Institutional Change And Development Zone Evolution

Development zone establishing is an important strategy of reform and opening policy of China, which in the early stage attracts much attention from scholars. After two decades years, great changes happened in most of the development zones. The successful and unsuccessful experiences contribute to Chinese economic and political reform quite a lot. This paper performs its study by taking development zone as an institution instead of an entity, analyzing the role of government, development zone, manage committee and the enterprises as well as their interrelation.The paper uses the institutional changes theory of Mrs. Lin Yifu and Mrs. Yang RuiLong for reference. At present, we can sum up three models of institutional changes: induced institutional changes, coercive institutional changes and middle-expanded institutional changes. And it mainly discusses the whole dynamic progress of institutional changes through three courses: institutional innovation, institutional evolution and institutional equilibrium as contrast as three stages of development zone. Useful experiences and outstanding cases from abroad including U.S.A, Japan, etc. are introduced in, with the aim of comparison.Under the frame of institutional changes, an attempting exploration to the mechanism of institutional innovation is performed. How to realize the situation of institutional equilibrium gather more focus. The author forecasts that Chinese development zone will progress along two different paths in the future with the conclusion of general model of development zone institutional evolution at the final part.