Industrial Upgrading and New Quality Productive Forces: Evidence from China's Provincial Panel Data (2003-2022)

TL;DR

This study examines how China's industrial structure transformation influences the development of new quality productive forces, highlighting regional differences and emphasizing total factor productivity as a key indicator.

Contribution

It provides empirical evidence on the positive impact of industrial upgrading on productive forces, with a focus on regional disparities and total factor productivity as a core measure.

Findings

Industrial upgrading significantly promotes new quality productive forces.

Regional differences affect the impact of industrial transformation.

Total factor productivity is a key indicator of development level.

Abstract

Accelerating the deep transformation and upgrading of industrial structure and forming new quality productive forces are essential components for China to achieve the great rejuvenation of the Chinese Dream. After more than 40 years of rapid development, China has entered the "new normal" of development, making the advancement of new quality productive forces an urgent task. This paper reviews the evolution of China's industrial structure, argues the necessity for a new round of deep industrial transformation, and explores the impact of industrial structure transformation and upgrading on the level of new quality productive forces using various methods. The research findings are as follows:(1)The deep transformation and upgrading of the industrial structure can significantly promote the development of new quality productive forces, but there are obvious regional differences.(2)The core indicator of the improvement in the level of new quality productive forces is the enhancement of total factor productivity. Furthermore, this paper summarizes past industrial development processes and the challenges faced, and analyzes and discusses the potential challenges that may arise in promoting the development of new quality productive forces through deep industrial structure transformation, based on empirical research results.