Research On The Innovations In Systems And Mechanisms Of China's Industrial Transformation And Upgrading Under The Background Of The New Industrial Revolution

China has been committed to promoting industrial transformation and upgrading,although many achievements have been made,there are some bottleneck problems,such as unreasonable industrial structure,low product added value,poor enterprise benefits.This paper explores the profound reasons behind the problems and find out,the root cause is mainly economic system defects of our country.Therefore,it is great meaningful for China to analyzes the system and mechanism obstacles of the transformation and upgrading of China and propose the innovation of system and mechanism of industrial transformation and upgrading.According to new structural economics,it is necessary to rely on the ?effective market? to form the price system that can reflect the scarcity of factors,and then induce enterprises to choose industries and technologies according to this price system to build comparative advantages,while ?promising government? to solve the inevitably externalities problems and improve the hardware and software infrastructure construction during the structural change process.A country can achieve rapid,inclusive and sustainable growth with the ?effective market? and the “promising government?.Therefore,the appropriate relationship between the market and the government is the main question of economic system reform in our country,also can be the key to success of industry transformation and upgrading.Based on the theory of new structural economics,this paper analyse the mechanism of industrial transformation and upgrading from government,market and enterprise,and find out the system and mechanism obstacles that restrict China's industrial transformation and upgrading according to the empirical tests results.Further combining the new industrial revolution trend,this paper proposes the innovation of system and mechanism of Chian's industrial transformation and upgrading.The main research conclusions are as follows:Firstly,the government over-intervention impact the industrial transformation and upgrading.Under the government-led resource allocation system,the government's excessive intervention makes the mechanism of market allocation of resources ineffective,which brings the problems such as factor price distortions and restricts the industrial transformation and upgrading.The empirical results show that there are obvious price distortions in capital,labor force and land factor,the distortions of capital factor prices are especially serious,and the distortions of land factor prices have increased sharply after the financial crisis.The distortions of the three factors have negative effects on industrial structure adjustment and total factor productivity,and the distortions of capital elements have the greatest negative effects.When the distortion of capital factor is larger than the labor factor,the labor-intensive industries will tend to capital-intensive technological progress,and lagging behind the evolution of industrial structure.In addition,government subsidies have negative effects on the industrial restructuring and total factor productivity,government subsidies are not conducive to promoting the process of industrial transformation and upgrading.Secondly,the absence of the market impact on the industrial transformation and upgrading.In the government-led economic system,the market mechanism of market supply and demand is effectively.Government stimulates the investment behavior of the micro-enterprises,which leads to the over-investment demand and the redundant construction.The empirical results show that the investment demand is negative for the optimization and upgrading of the industrial structure,and is not conducive to the improvement of total factor productivity.In addition,consumer demand is conducive to industrial restructuring,can effectively enhance the total factor productivity.Thirdly,the government's excessive intervention and the market's absence impact on the enterprise transformation and upgrading mechanism.Government intervention makes the market mechanism ineffective,and then distorts the enterprise's production,management,innovation and other decision-making.State-owned enterprises are the micro-characterization of institutional arrangements in China,and can best reflect the impact of government over-intervention on enterprises.Based on the existing research,this paper uses the enterprise technological innovation to measure the transformation and upgrading of enterprises,and empirically analyzes the influence of government over-intervention on the technological innovation of state-owned enterprises and non-state-owned enterprises.The results show that,on the one hand,although government subsidies are inclined to state-owned enterprises,government subsidies have no significant effect on the technological innovation of state-owned enterprises compared with non-state enterprises,and have not promoted the viability of the enterprise of state-owned enterprises that can further promote enterprise technological innovation.That is to say state-owned enterprises choose to maintain the dominant position rather than choose innovation after obtain government subsidies that exacerbated the problem of resource redundancy.With dependence on the system environment and lack of fierce market competition,the viability of state-owned enterprises has no effect on innovation.On the other hand,factor price distortions have a significant effect on the technological innovation of non-state-owned enterprises.Capital factor price distortions make enterprises excessively use capital elements and put into the high returns bussniess that restrain the enterprise to conduct technological innovation,and reduce the viability of enterprises that can further promote enterprise technological innovation.The distortions of labor factor and land factor price make the enterprise focus on the improvement and innovation of the low-end link,and further weaken the enterprise's technological innovation by reducing the enterprise's viability.Finally,the results show that the offside and absence of the government have restricted the sustainable development of industry.Especially under the background of the new industrial revolution,the developing trend of flat industrial organization,diversified demand and decentralized decision-making is a major challenge on our development pattern of centralized decision-making and excessive pursuit of growth.Chinese government is difficult to accurately and quickly adapt to the rapidly changing market demand and the market.It is necessary to promote the system and mechanism innovation of industrial transformation and upgrading,which is the linkage mechanism of efficient market-promising government-sentient community on the basis of clearly defined the function of three sectors.Pinghu city as a pilot of system and mechanism innovation play the role of promising government to promote transformation and upgrading of industry on the basis of fully respect the leading role of market mechanism.