| After nearly 40 years of reform and opening up,China has successfully achieved a transition from a planned economic system to a market-oriented economic system.The socialist market economic system has been established and continuously improved,and a unified,open,competitive and orderly modern market system is being formed.However,at present,the development and degree of marketization of various types of markets such as China's product market,capital market,and labor market are unbalanced,and the degree of marketization of product markets has made great progress.The prices of most products have been decided by the market.The supply and demand situation has been adjusted spontaneously.However,the process of reforming China's market-oriented factors has been lagging behind for a long time.Markets such as capital,land,labor,and resource products have been distorted to varying degrees,and factor prices cannot truly reflect market supply-demand relations and resource scarcity.The guiding and restraining functions of policies,plans,and standards are not strong enough.Under the influence of local government's intervention on the economy and China's special institutional mechanisms,China's industrial production capacity is in serious excess.The current fiscal decentralization system in China and the political promotion system of local government officials have caused local governments to have a strong incentive to intervene in the economy.Interfering and controlling the distribution of production factors resources has caused distortions in the prices of the production factor markets.China's land property rights are ambiguous,environmental protection systems are not perfect,and financial budgets are softly constrained.This provides a means for local governments to intervene in the allocation of resources in the factor markets,making the prices of production factors severely depressed.Enterprises are always profitable,and the price of factors of production is underestimated,which is equivalent to lowering the barriers to entry of the industry;pressure from the performance evaluation of local governments will force them to intervene in the micro-economic activities of enterprises and increase the barriers to exit from the industry.At the same time,enterprises can earn profits by increasing investment in production factors,and they will lose the incentive to carry out independent innovation.The upgrading of industrial structure will enter a stage of stagnation.This dissertation uses the Cobb-Douglas production function method to measure the total price distortions of the factors in 36 industrial sectors.The results show that the price distortion of factor prices in China's industrial industry is significantly greater than 1,indicating that these industries exist a serious negative distortion in factor prices,that is,long-term factor prices have been seriously underestimated,leading to the fact that the actual price of factors is less than the marginal output.From the trend point of view,the degree of price distortion in most industrial sectors is slowly declining.Considering different industries,the total distortion of the factor price of light industry is relatively small,and the total distortion of the factor price of heavy industry,especially the high-energy-consuming industries,is serious.Capital-intensive industries and natural monopolies industries have greater distortions in the price of capital,and labor-intensive industries have a greater degree of labor price distortions.Through the measurement of capacity utilization,it is found that the capacity utilization rate of 36 industrial sectors in China is continuously increasing,but the level of capacity utilization is always at a low level.The average utilization rate of the five industries including the textile industry,pharmaceutical manufacturing,special equipment manufacturing,communications equipment,computer and other electronic equipment manufacturing,instrumentation and meter manufacturing industries from 2006 to 2015 ranged from 79%to 83%.In addition,the average capacity utilization rate of 24 industry segments was below 79%,and the average capacity utilization rate of 7 industries was above 83%.The average capacity utilization rate of the mining and power generation,heating gas and water production and supply industries is lower than that of the manufacturing industry.Judging from the reasonable range of utilization rate of 79%?83%,the industry of China is currently showing a structural excess situation.Under the help of mediating effect model,this paper uses the system GRM regression to find that factor price distortion has a significant negative impact on capacity utilization,which intensifies the formation of excess production capacity;in the mechanism of action,factor price distortions will be influenced by investment effects,industrial structure effect and innovation effect.The influence of price distortion on China's industrial overcapacity mainly rely on the impact of investment effects and innovation effect.The price distortions of capital,labor,and energy elements have different effects on capacity utilization,and the greatest effect is distortion of capital prices.Finally,in response to the fact that factor market price distortions have led to a low capacity utilization rate in the Chinese industrial sector,China should accelerate the reform of the marketization of production factors;reform the performance evaluation system of officials,reduce government intervention in micro-economic activities;increase investment in research and development,and promote skill improved;push forward the structural reform on the supply side and properly handle the zombie enterprises. |
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