Industrial Policy and the Great Power Competition

Since the end of the Cold War,major powers have avoided direct military confrontation,wary of the devastating consequences of nuclear warfare.Yet the arms race and regional conflicts remain important forms of power competition.Nonetheless,in the era of globalization,rapid advancements in new technologies and industries have eclipsed the utility of geopolitical maneuvers and military competition.In today’s world,the great power competition goes beyond the arms race and GDP aggregates.What matters more is the race to innovate and apply new technologies through a complete range of industrial sectors.In a world where technology has a controlling influence,industrial security has become the linchpin of national security.As globalization reshapes the world’s industrial landscape,a country’s economic influence,military might and national security depend increasingly on its industrial structure.National security is contingent upon industrial strength.In the era of globalization,industrial policy,cutting-edge technologies and market size are dominant factors influencing a country’s competitive position.The essence of the great power competition are industrial policies that fully unlock a country’s industrial potential and implementation of the policies.

Industrial Policy,Product Switching,and Export Performance

Industrial policy can promote economic growth and industrial upgrading by encouraging enterprises to adopt product switching.By utilizing comprehensive industrial policies and customs trade databases from 2000 to 2015,this paper found that firms with product ranges within policy-supported areas were more active in product switching.Among all the enterprises that adopted the product switching,those with nonmain products in policy-supported areas were more inclined to adjust their main product.They tended to transform nonmain product to main product as opposed to introducing new main product in order to effectively leverage their export experience and established technology.Whereas,for enterprises whose main product was within the policy-supported areas,their tendency to switch products significantly decreased.Mechanism analysis suggested that policy support,by alleviating industry distress and mitigating excessive market competition,encouraged firms to switch products to areas with policy backing.Moreover,we estimated trade performance after product switching from the perspective of product unit price and export product quality.We found that for firms whose main product was in policy-supported areas,such switching was more likely to result in“low price,high quality”exports,whereas for firms with nonmain products in supported areas,such switching was more likely to lead to“high price,low quality”exports,which indicates that firms switching to policy-supported areas need to continuously develop their core competencies and operate effectively to improve their production performance.

The effects of industrial policymaking on the economics of low-emission technologies: the TRANSid model

Basic materials such as steel,cement,aluminium,and(petro)chemicals are the building blocks of industrialised societies.However,their production is extremely energy and emission intensive,and these industries need to decarbonise their emissions over the next decades to keep global warming at least below 2°C.Low-emission industrial-scale production processes are not commercially available for any of these basic materials and require policy support to ensure their large-scale diffusion over the upcoming decades.The novel transition to industry decarbonisation(TRANSid)model analyses the framework conditions that enable large-scale investment decisions in climate-friendly basic material options.We present a simplified case study of the cement sector to demonstrate the process by which the model optimises investment and operational costs in carbon capture technology by 2050.Furthermore,we demonstrate that extending the model to other sectors allows for the analysis of industry-and sector-specific policy options.

Path Analysis of High-Quality Development of Regional Economy The Role and Impact of Industrial Policies

With China’s economic development entering a new normal,high-quality regional economic development has become an important goal of current economic development.As one of the important means to promote high-quality development of the regional economy,industrial policies are increasingly receiving attention in terms of their role and impact.This article mainly conducts an in-depth analysis of the mechanism and impact path of industrial policies,exploring the role and impact of industrial policies in promoting high-quality regional economic development.Firstly,industrial policies play an important role in promoting high-quality regional economic development.Secondly,the impact path of industrial policies on the high-quality development of the regional economy mainly includes promoting industrial structure upgrading,promoting technological innovation,guiding resource allocation,and enhancing enterprise competitiveness.Therefore,it is necessary to increase research and practice on industrial policies,continuously optimize policy measures,and promote high-quality development of the regional economy.

Industrial policy,structural transformation and economic growth:evidence from China

Industrial policy is an important means for governments to promote industrial development and accelerate economic growth.This paper mainly uses the Chinese Law and Regulation Database as the source of the relevant laws and regulations of China’s industrial policies from 2003 to 2015.On this basis,it empirically examines the impact of industrial policies on economic growth.The study finds that China’s industrial policy has significant positive effects on economic growth and that industrial structure rationalization is an important channel of industrial policy to improve economic growth.The findings are also valid under a series of robustness tests and endogenous corrections.The results of heterogeneity tests confirm that there are heterogeneous effects pertaining to industrial policy on economic growth among different subregional areas,administrative levels,industrial development stages,and industrial policy types.Overall,this paper supports the hypothesis that industrial policy has positive effects on economic growth and,accordingly,provides a basis for industrial policy implementation.

The Consumption-Driven Effect of Place-based Industrial Policy:An Empirical Study Based on Development Zone Policy

Can the development zone policy that pioneered Chinese industrialization energize the consumption of urban residents and become an important means of achieving the coordinated development of industrialization and urbanization?We used the policy impact of upgrading provincial development zones to conduct empirical research on the consumptiondriven effect of development zone policy with the Difference in Difference(DID)model.Our findings show that the upgrading of development zones is significant in raising urban residents’total consumption,personal consumption,housing consumption and expenditure on children’s education.This is mainly due to the increase in productivity brought about by the upgrading policy.However,in cities that have more stringent household registration(hukou)systems,impose tougher home purchase restrictions(HPR)on the floating population and have less social harmony,the labor force is less willing and less able to consume,making it hard to expand domestic demand.

China's Industrial Policy in Relation to Electronics Manufacturing

China has become the biggest exporter of electronic products in the world. Government policy intervention has contributed significantly to the rapid expansion of the electronics industry. The present paper examines the evolutionary development of industrial policies related to the electronics industry in China and the impacts of such policies on the shaping of the industry, ln particular, the relationship between foreign funded enterprises and domestic firms are examined in detail. The future trend of the industry is also discussed in the paper, and thepolicyfocus of the Chinese Government is predicted.

Does a national industrial policy promote financial market stability?A study based on stock price crash risk

Whether the implementation of a national industrial policy can maintain stability in the financial market is a question of theoretical and practical significance. Using data from China’s non-financial listed firms from 2007 to 2020,we find that a national industrial policy lowers stock price crash risk. We find that the effect of an industrial policy on lowering stock price crash risk is more pronounced in regions with low levels of regional marketization and if firms have high external uncertainty, low total asset turnover, greater earnings management and receive small increments of long-term loans and fewer government subsidies, suggesting that industrial policies lower stock price crash risk by improving firm fundamentals and reducing external uncertainty,agency costs and information asymmetry.

Industrial Policy and China＇s Economic Development： From the Perspective of New Structural Economics

Although industrial policies in many countries have failed, a country＇s economic development is bound to be unsuccessful without industrial policy. The responsibility of an economist is not to object to any kind of industrial policy for fear of failure, nor unconditionally support all kinds of industrial policies because industrial policy is a necessary condition for the success of economic development. An economist should explore the causes behind the success or failure of industrial policies so as to help government reduce the chance of failure and improve the probabilities of success in applying industrial policies. This paper analyzes why industrial policy is necessary for successful economic development. This paper notes that synergy of ＂efficient market＂ and ＂facilitating state＂ is indispensable for economic development, and also analyzes why developed and developing countries failed in applying industrial policies. From the perspective of New Structural Economics, in this paper industries in China are divided into five types： catching-up industries, leading-edge industries, comparative advantage-losing industries, short innovation cycle industries and comparative advantage-defying strategic industries. The paper also analyzes how to formulate effective industrial policy in China. It is noted that, based on the characteristics of each industry, ＂efficient market＂ and ＂facilitating state＂ should both play their respective roles in promoting China＇s industrial transformation and upgrading.

On the Regionization of the Industrial Policy

Combining theory withpractice,this article expounded theintrinsic links between the industrialpolicy and the policy ofregionization and the necessity of du-al guides and restrictions for the con-duct of regional main body;the or-ganic combination of the unificationand principle of the persistency ofthe country’s industrial policy as

INDUSTRIAL POLICY OF THE MOTOR INDUSTRY(The State Planning Commission February 19, 1994)

In the interests of changing the current situation of decentralization in investment, small scale in production and backwardness of auto products, strengthening development capability of automotive enterprise, improving product quality and technical equipment level, promoting the rationalization of the industrial operation arrangement (or organization) and realizing the economy of scale, the Industrial Policy of the Motor Industry hereunder is formulated to build China’s motor industry (including the motorcycle industry, hereinafter) into a pillar industry of the national economy as quickly as possible. With the implementation of this industrial

A Talk On "Industrial Policy Off Motor Industry

Ⅰ. Reverberations of the "Industrial Policy of Motor Industry" The announcement of the "Industrial Policy of Motor Industry" (Industrial Policy, hereinafter) has brought many new changes to China motor industry, and has great influences upon its development and the cooperation between China auto industry and that of the world.

Balancing Industrial Competitiveness with Regional Value Requires Policy Wisdom

Industrial competitiveness and regional value are fundamentally consistent yet different in that the former relates to businesses while the latter is concerned with households(regional employment,taxes and the environment).In a market-based economy,most enterprises are able to'vote with their feet'and move to regions that are favorable to them.For a region,enterprises contribute to regional value only when they set

Industrial transformation and green production to reduce environmental emissions: Taking cement industry as a case

Industrial transformation and green production(ITGP) is a new 10-year international research initiative proposed by the Chinese National Committee for Future Earth. It is also an important theme for adapting and responding to global environmental change. Aiming at a thorough examination of the implementation of ITGP in China, this paper presents its objectives, its three major areas, and their progress so far. It also identifies the key elements of its management and proposes new perspectives on managing green transformation. For instance, we introduce a case study on cement industry that shows the positive policy effects of reducing backward production capacity on PCDD/Fs emissions. Finally,to develop different transformation scenarios for a green future, we propose four strategies: 1) policy integration for promoting green industry, 2)system innovation and a multidisciplinary approach, 3) collaborative governance with all potential stakeholders, and 4) managing uncertainty,risks, and long-time horizons.

A PRELIMINARY STUDY ON INDUSTRIAL POLICIES FOR FOREIGN INVESTMENT IN GUANGDONG PROVINCE

Industrial policies for foreign investment in GuangdongProvince are studied. The main points are as follows: 1) The formulation,characteristics and background of industrial policies for foreign investmentin Guangdong Province, 2) The practical effects of industrial policies forforeign investment in Guangdong Province, 3) Suggestions relating toestablishing the important status for the policies for foraign investment,improving and perfecting these policies, and facilitating the enforcementof these policies.

Globalization,Industrialization and Economic Catch-Up

Industrialization was an essential path to modernization for early industrialized nations.Since the 1990s,however,premature deindustrialization has swept across much of the developing world,where industry contributed less to job creation and economic growth.Will developing countries still have opportunity to achieve economic growth and catch-up through industrialization?This article contends that the traditional path of industrialization has become more elusive in the era of globalization but the changing global economy and technological progress create new opportunities for developing countries.In today’s interconnected world,China’s economic rise has great implications for other developing countries.This article finds that China’s emergence as the world’s workshop has helped rather than hurt industrial development in Africa through two-way trade,but its impact may differ across the African continent,Africa’s industrial path may not follow an exportoriented approach.Instead,Africa’s future sustainability depends on its adoption of a diversified industrial policy.

Fourth Industrial Revolution:Technological Drivers,Impacts and Coping Methods

The world is marching into a new development period when the digital technology,physical technology,and biological technology have achieved an unprecedented development respectively in their own fields,and at the same time their applications are converging greatly.These are the three major technological drivers for the Fourth Industrial Revolution.This paper discusses the specific technology niches of each kind technological driver behind the Fourth Industrial Revolution,and then evaluates impacts of the Fourth Industrial Revolution on global industrial,economic,and social development.At last this paper proposes possible measures and policies for both firms and governments to cope with the changes brought by the Fourth Industrial Revolution.

DEVELOPMENT POLICY AND STRATEGY OF THE AUTO INDUSTRY IN CHINA

During the Ninth Five-Year Plan Periodfrom 1996 to 2000,the developmentpolicy and strategy of China’s autoindustry is:based on Chinese-made partsand components to develop sedan cars andupgrade the product structure;giving firstplace to large groups for the promotion ofunited reorganization step by step and therealization of scale production