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China’s Technological Catch-Up StrategyIndustrial Development, Energy Efficiency, and CO2 Emissions$
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Michael T. Rock and Michael Toman

Print publication date: 2015

Print ISBN-13: 9780199385324

Published to Oxford Scholarship Online: January 2015

DOI: 10.1093/acprof:oso/9780199385324.001.0001

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China’s Industrial Development Strategy and Energy Use

China’s Industrial Development Strategy and Energy Use

(p.19) Chapter 3 China’s Industrial Development Strategy and Energy Use
China’s Technological Catch-Up Strategy

Michael T. Rock

Michael Toman

Oxford University Press

Industrial development in China is the result of an evolving search for a strategy consonant with social and political conditions that also meets economic development objectives. Once weaknesses with Soviet-style central planning emerged, the Chinese experimented with a radical Great Leap Forward before settling on administrative decentralization and an agriculture-first development strategy. When the returns to the decentralized strategy slowed, China began experimenting with gradual and incremental quasi-market reforms in agriculture, small-scale industry, and trade and foreign investment that facilitated very rapid growth and increasing openness. However, because small-scale industries tended to use energy-intensive and antiquated technologies, this period left much of Chinese industry with high energy and pollution intensities and backward technologies. To address these problems, China began a long industry restructuring program to increase scale, improve energy efficiency, and engage in high-speed technological catch-up. There is growing evidence that this new industrial development strategy is starting to work.

Keywords:   industrial development strategy, administrative decentralization, quasi-market reforms, industry restructuring, high-speed technological catch-up, aluminum industry, cement industry, paper industry, energy efficiency

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