| Since the beginning of China's Reform and Opening up, Shandong economy has maintained 20 years of sustained rapid growth, the annual local GDP broken trillion, ranking third. Regard to high-speed development, we should also clearly see that the extensive growth mode problems are especially prominent, mainly for economic growth with a clear "high input, high consumption and low efficiency" features. Changing the pattern of economic development, aiming to achieve sustainable economic development became the most pressing practical problems.In this paper, we have studied institutional change and economic growth mode problem, by following institutional change or innovation contribution to economic growth and transformation of economic growth. Think about how local government can do in institutional innovation for transformation of economic growth, concluded with some advices for Shandong Province. In research methods, we have mainly completed building of the institutional index system and index system of economic growth, according to actual situation in Shandong Province. With comprehensive using of statistical analysis, mathematical analysis and quantitative analysis, we have fully researched on impacts and contribution institutional innovation has made on economic growth in Shandong Province, the core of this paper is based on principal component analysis conducted on the two key indicators of system specific quantification.After empirical analysis, we have concluded institutional factors and economic growth patterns have stable ties between each other. The role of Institutional Innovation playing as for sustainable development is essential. Finally, we constructed the system from several angles in the view of institutional innovation actors-local governments and carefully explored the issues and challenges with more appropriate solutions. In considering the issue as a local government to solve the problem when a number of factors influenced before comprehensive decision-making, we provides some advice for reference only in the end. |
