Study On The Evolution Of Industry Association And Efficiency To Chinese Renewable Resources Industry

With China going through a number of difficult structural adjustments and the resource-related environmental problems getting more and more severe, the renewable resource industry is getting greater attention. Compared to improving recycling system and industry characteristics of this particular industry, much less effort has been put into the renewable resource industry’s associations with other industries as well as the efficiency of it. Therefore, studying industry association effects and the efficiency evolution of renewable resource industry has become essential and critical.This paper firstly provides a review of relative literatures and industry characteristics of the renewable resource industry, then we choose 10 years’ data(2003-2013) from China statistical yearbook, 8 years’ data(2005-2013) from 21 provinces’ statistical yearbooks and data from the China input-output table both in 2007 and 2010 to complete the study of the renewable resource industry. This analyzing methods used in this study include input-output analysis, descriptive statistics, Malmquist index approach and software tools of DEAP2.0. This paper focuses on characteristics of industries, evolution trend of industry association effects and efficiency of renewable resource industry. The main conclusions obtained are as follows.Firstly, the gross industrial production, number of employed persons at the year-end、number of enterprise、primary operating revenue and total pre-tax profits of Chinese renewable resource industry have grown quickly during the period from 2003 to 2013, indicating that the size of Chinese renewable resource industry and economic efficiency experience significant improvement. The private enterprises played an extremely role in the development of renewable resource industry, and they are mainly in the east and south of China. Secondly, the association between Chinese renewable resource industry and other industries is little as a whole, since only few industries like the manufacturing industry keep close relationship with the renewable resource industry, such as metal smelting and rolling processing industry 、 transportation equipment manufacturing industry, and so on. Meanwhile, the influence coefficients and sensitivity coefficients of the renewable resource industry are less than 1, indicating that the effect of renewable resource industry on national economy is small. In terms of the industry association evolution trend in recent years, industry association effects, the number of dependable industries, influence coefficients and sensitivity coefficients all increased. Thirdly, TFP of the renewable resources industry was increasing at 7.1% per year during the sample period, in which technical efficiency increased at 2.6% per year and the technical progress 4.4% per year. Besides, the renewable energy industry is still in the stage of extensive growth in this period. Furthermore, the growth rate of TFP showed significant regional differences, where the middle part of China is the highest and the western region is the lowest in the growth rate. This variance should be owed to the regional difference of technical efficiency. Finally, this paper offers certain countermeasures based on research conclusions mentioned above, like expanding renewable resources product propaganda, improving the industry recycling system of renewable resources, setting up renewable resources industry demonstration zones, etc.