Relative Performance Of Industrial Land Use

In the industrialization stage that our country is experiencing, construction land demand increases rapidly alone with the city development. However, city new construcion land supply is limited and it has become the bottleneck of city development in China. But at the same time, the efficiency of our industrial land use is much lower than those of developed countries. The government try to evaluate the industrial land performance by index system which has some problems. Optimization the method of evaluating industrial land performance can identify the inefficient use of land accurately and plan the industrial sites reasonablely.The absolute value of the index of industrial land use performance limitations are pointed out on the basis of the review of domestic and foreign scholars’research on land use performance. In order to achieve the purpose of land use performance evaluation, this study suggests using the relative performance instead of the absolute performance to measure the industrial land economic output. Firstly, relative performance eliminates the impacts of location and park level on land use, and it indicates that industrial park with good location and high level should has higher output. Secondly, negative impacts will be brought to the price of industrial land and surrounding area due to the industrial pollutions and these loss should be consider into relative performance.The Solow residual method and Hedonic price method are added into the methodology of this research and Shanghai industrial parks will be the empirical case. It calculates the relative performance of eliminating location differences on 29 municipal and national industrial parks. The results indicate that the difference between relative and absolute performance is obvious and industrial park with excellent location conditions should have higher output target. Besides, the impacts of industrial lots on its surrounding housing prices are measure, and the results show that the more pollution it exhaust, the more negative effect it will bring to regional land value.The results indicate that, the relative performance liminating the location and level differences can explain the production potential more accurately, and the relative performance considering the impact on regional land value can reflect both economic output and environmental benefit at the same time. Therefore, some enlightenments on industrial land management are shown to the government. Make different performance goals according to the location and level of industrial park. Industrial parks without output matching their location advantages should be developed in other way. Instead of thinking highly of absolute output by pursuing the maximization of overall regional economic. The industrial parks having great negative influence should be relocated.