Industrial Economics

Author: Chief Editor: Li Yue
Publisher:
Publishing Date: 2004-10-01
Features:
Content Summary This book is a specialized textbook on industrial economics. It is guided by Marxism, Mao Zedong Thought, and the Theory of Deng Xiaoping, with the principle of "absorbing the strengths of others, focusing on our own, integrating and refining to create something unique" as its fundamental editing guideline. It takes revealing, analyzing, and exploring solutions to contradictions as its basic approach, with the transformation of economic growth models as its main thread. Based on a scientific summary of China's industrial growth experience and the absorption of beneficial foreign experiences, it employs a combination of qualitative and quantitative methods to comprehensively and systematically analyze and elaborate on 29 important topics related to industrial economic growth, aiming to reveal the objective laws of industrial economic development. The book is divided into an introduction and five specialized discussions. The introduction clarifies two types of disciplines, "one transformation and two shifts," guiding ideology and research objects, and economic growth versus production purposes. The five specialized discussions are Growth Theory, Industrial Structure, Industrial Organization, Growth Models, and Operational Mechanisms. The book is rich in content and theoretical depth, making it an excellent textbook for postgraduate students in higher education institutions. It can also serve as a textbook for undergraduate students and a valuable reference book for economic theory researchers and a broad range of economic practitioners.
Excerpt:
> Economic growth is the top priority for modern and contemporary countries worldwide and has naturally become a "top-priority economic topic" for economists. This chapter primarily elaborates on the origins and types of economic growth and economic growth theory; Marx and Lenin's discussions on economic growth; the main schools of Western economic growth theory; new developments in economic growth theory; and the general trends of modern economic growth.
> Chapter 1: Economic Growth and Economic Development
>
> In modern economics literature, there are multiple definitions of economic growth and economic development, with two representative views. One view holds that economic growth refers to the increase and expansion of a country's economic output and capacity, while economic development refers to changes in economic structure and systems that accompany and include economic growth. "Growth" and "development" are sometimes used as synonyms, but when used together, "growth" refers to more output, whereas "development" includes not only more output but also changes in the technological and institutional arrangements that underpin production and distribution. Economic growth includes not only growth achieved through expanding inputs, such as investment, but also growth resulting from higher production efficiency, i.e., more output per unit of input. Economic development, however, implies more than this—it also involves changes in output structure and the distribution of inputs across different sectors.
> In reality, this view defines a "narrow" concept of economic growth (referring only to the increase in economic "quantity") while simultaneously presenting a "broad" concept of economic development (which includes economic growth). Simon Kuznets represents the other view. Kuznets offers a "broad" or "complete" definition of economic growth. He defines a country's economic growth as "the long-term improvement in the capacity to supply a wide variety of economic goods demanded by its residents, built on advanced technology and requiring institutional and ideological adjustments required by that technology."1 Kuznets believes all three components of this definition are important. The sustained expansion of commodity supply is the result of economic growth, and this abundance should be achieved through the application of advanced modern technology. However, technology is only a potential and necessary condition—it is not a sufficient condition. Moreover, "it must be emphasized that at any time, growth is not merely a change in aggregate (total) terms but also includes structural transformation. This growth momentum is driven by major technological innovations, and each society must adjust its existing institutional structures when adopting such technology, which implies significant changes in social organization."2 It appears that Kuznets has provided a "trinity" definition of economic growth: sustained growth in economic quantity and capacity, structural transformation, and corresponding adjustments in organization and institutions.
> Based on the above definitions of economic growth and economic development, we tend to adopt a narrower concept of economic growth. Its basic meaning is: the expansion of economic quantity and capacity, along with structural transformation or upgrading. Our choice is primarily based on the following considerations.
>
> Postscript: This book aims to establish a Chinese-industrial economics with distinctive characteristics, guided by the principle of "absorbing the strengths of others, focusing on our own, integrating and refining to create something unique." The framework, structure, content, and chapters of the entire book were designed by Professor Li Yue, who served as the chief editor and revised, supplemented, compiled, and finalized all chapters. This book is the collective effort of six professors, associate professors, and eight Ph.D. economists. It combines the culmination of the chief editor's 40 years of teaching and research achievements, reflects the long-term teaching and research contributions of the contributors, and draws on and incorporates the cutting-edge research findings published by domestic and international scholars in the field. The authors of each chapter are as follows:
> Li Yue: Introduction, Chapters 4, 5, 7, 8, 21, 25, and Postscript;
> Mi Lizhong: Chapter;
> Sun Fquan: Chapters 2 and 3;
> Xu Jiabin: Chapter 6;
> Yin Weiyanyan: Chapters 9, 13, and 14;
> Li Li: Chapter 10;
> Lang Lijun: Chapters 11 and 24;
> Li Xuefeng: Chapters 12 and 15;
> Qu Baozhi: Chapter 16;
> Li Ping: Chapters 17, 18, and 20;
> Li Jian: Chapters 19 and 27;
> Chen Baoming: Chapter 22;
> Bao Ke: Chapters 23 and 28;
> Pan Huaxue: Chapters 26 and 29.
>
> The chief editor, Sheng Jie, invested a significant amount of hard work in the completion of this book. Vice President Xu Anlin of the China Renmin University Press and Professor Sun Tong of the School of Labor and Human Resources at Renmin University of China also provided us with strong support and assistance. We sincerely thank the aforementioned colleagues and domestic and international experts. Due to the limitations of the authors and the urgency of the time, there may be shortcomings and regrets in the book. We sincerely invite colleagues and readers to point them out for future revisions.
> Editors, December 1997