The Research Of Fiscal Policy On Promoting The Market Competitiveness Of Equipment Manufactring Industry In China

The equipment manufacturing industry is mother-machine of all the industry, and itis the strategy industry of national economy. From the path of America, Germany andJapan, they all carry out powerful fiscal policies to advance the equipment manufacturingIndustry. China is on the middle and later period of Industrialization, and the level of theequipment manufacturing industry decide the progress of Industrialization and thecompetitiveness of Chinese economy. The structure of global equipment manufacturingindustry is adjusting quickly. By implementing the reindustrialization strategy, Americais enhancing the ability of R&D and trying to establish new advantage in competition.Some newly Industrializing countries are trying to attract more overseas investment bythe advantage of lower cost. China is facing more pressure. By carrying out someeffective fiscal policies, china can promote the development of the equipmentmanufacturing industry.The paper uses the method of the combine on qualitative analysis and quantitativeanalysis, and the theory analysis and the investigation. It point out the necessity andmechanism of action of enhancing the competitive power by putting the fiscal policiesinto effect, and analyses the problems。Some experience of developed country is worthyto study and the paper put forward some proposals. There are seven parts in the paper.Chapter1is the introduction. The primary coverage includes the background, theway, the innovation and the problem. The less of effective fiscal policies is that why theChinese equipment manufacturing Industry has low competitive power. It is good tosolve the problems and enhance the development of the Industry by improving the fiscalpolicies.Chapter2focuses on the relevant theories and the summary of research document.Neo classical theories of growth，Endogenous economic growth theory，and Nationalinnovation theory are introduced. Some different opinions are summarized onmacro-economy, innovation, the activity of entrepreneur, Industrial colony andtransnational investment what the fiscal policies can effect.Chapter3is about the mechanism of how the fiscal policy improves the competitivepower of the equipment manufacturing Industry. It analyse the ensemble efficiency and coupling efficiency on how to enhance the competitive power of equipmentmanufacturing industry. The ways of how the fiscal policy improves the competitivepower of the equipment manufacturing Industry is studied on improving the innovationability, perfecting the industrial layout, enhancing the development of productive service,solving the history problems and supporting the production sales.Chapter4is about the study on the competitive power of the equipmentmanufacturing Industry in China. The conception and the category are defined, and thestatus quo of the Chinese equipment manufacturing industry is analyzed. The competitivepower of the Industry is compared by the “Four factors of Potter” and the revealed index.Chapter5is about an analysis on how the fiscal policies influence the developmentof the equipment manufacturing Industry in China. Some factors are elected to structure amodel on the relationship of fiscal policies and the value of equipment manufacturingIndustry.Chapter6focuses on the main problems and the reasons on the fiscal policies thatsupport the development of equipment manufacturing Industry. Some problems arepointed out, such as the lack of operability on the policy of Preferred Procurement，thelack of support on major technology and component Industry, the lack of the policy onIndustrial organization, the backward of Industrial finance and lack of support onproductive service.Chapter7focuses on the experience of some developed countries. The methods ofwork and experience on the aspects of fiscal investment, lower interest loan, lower tax,and relevant law are summarized in the countries of America, Japan and Korea. Chinashould try to build the environment which is propitious to innovate, and carry out theeffective fiscal investment policy, and some law should be published.Chapter8is about the suggestions on how to promote the competitive power of theequipment manufacturing Industry by carrying out the fiscal policies. The suggestionsinclude eight aspects, such as encouraging domestic producing, setting up the risk fundon R&D, promote the overseas investment, etc.