A Study On The Impact Mechanism And Effect Of Industrial Policy Intensity On The Industrial Evolution

Industrial policy is the frequent economic means used by the economy countries.From the point of the industrial evolution, the analysis in how to promulgate industrialpolicy can expand the research scope of the industrial policy theory and enrich thecontent. Moreover, the study has an important practical significance to thegovernment to make and implement the industrial policy, realize the policy goals andimprove the policy performance. However, from the point of view of the existinganalysis, it’s lack of research in the interaction of industry policy and the industrialevolution.The intensity of industrial policy means the extension of the governmentintervene the industry growth. Therefore, based on the theory of industry life cycle,we try to establish the model of the impact of the industrial policy intensity onindustry evolution and then analyze the impact mechanism and effect.First, the article discuss the theory of the impact of industry policy intensity onthe industrial evolution. By introducing the influence factors of the industrialevolution, analyze the impact mechanism of the policy intensity on the industrialevolution. Then, by introducing the industry policy intensity, build the model betweenthe intensity and the density of the strong and weak enterprises, to explain the impactof the industry policy and the industrial evolution. Finally, by making the example ofthe auto industrial policy between China and Japan, we compare the policyeffectiveness. It can demonstrate the difference of the impact of the policy intensityon the industrial evolution.By analyzing the impact of the impact of the policy intensity on the industrialevolution, it reveals that the impact mechanism differs as the evolution changes. Thepolicy intensity influence the evolution by making different impacts on the fourcriterion of judging the stages of evolution. In addition, when in the process of tryingto build the model between the industry policy and the industrial evolution, I exploreda new method to identify the different stages of the industrial evolution. Make theintensity of weak and strong enterprises represent the stages of industrial evolution.The model reflects that the higher the industry policy, the more the weak enterpriseand the less the strong enterprise, which means it is bad to extend the expansionperiod and earlier to the stagnation period (the recession). The case of the industry policy between China and Japan shows the result.Hence, the paper makes theconclusion, the government should weaken the effect of the industrial policy andreduce the intensity of the industry policy, in order to improve the industrycompetitiveness and promote the of the industry evolution.The paper will probably supply a fresh theoretical viewing angle for the study ofthe industrial policy. Moreover, the model between the policy intensity and theindustrial evolution, will expand a new perspective of the industrial policy theory.However, there are some deficiency, such as the paper discuss the quantitativerelationship between the policy intensity and the evolution accurately. Besides, it canneither judge the stages of the industrial evolution in a unified method.