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The role of national institutional change in the Shenzhen Special Economic Zone

Author: ZhangHaiLiang
Tutor: ZuoLiHua
School: China University of Political Science
Course: Political Economics
Keywords: Institution change theory State Institution change of Shenzhen Special Economic Zone Gradual mandatory institution change
CLC: F127
Type: Master's thesis
Year: 2009
Downloads: 136
Quote: 0
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Abstract


This thesis analyzes the role of state in the institutional change of Shenzhen Special Economic Zone based on the institution change theory of North.At the beginning of the Reform and Opening up,the institution change of Shenzhen Special Economic Zone was state-led mandatory institution of gradual change.It enjoyed many special preferential policies of the state in the process of institutional change.So the state played an important role in the institutional change of Shenzhen Special Economic Zone which was proved very successful.And Shenzhen established the framework of socialist market economy in the nationwide first.Institution change is a dynamic process of continuous development.It adjusts to the change of economic environment constantly in order to play a basic role of institution and promote the socio-economic development better.However,the economic environment of Shenzhen Special Economic Zone is changed in the new era.The state should make the other zones enjoy the special preferential policies of Shenzhen.And the country’s economic strategy should focus on reducing regional economic disparities so as to achieve the goal of common development.Shenzhen Special Economic Zone is facing the economic difficulties and the population problems in the new era.The industrial structure which is led by labor-intensive industry and low in technology could not support the rapid economic development continuously.At the same time,the rapid expansion of population makes it contradict with the capacity of the urban space and ecological environment.So,in order to adapt the economic environment change and solve the economic and population problems,Shenzhen Special Economic Zone should mainly develop by itself rather than depending on the special preferential policies of the state.And Shenzhen should transfer the gradual mandatory institution change to the gradual induced institution change.In addition,Shenzhen Special Economic Zone should establish a highly efficient and flexible management system,create a favorable investment environment,develop high-tech industries,and implement a proactive personnel strategy.The driving force for the future development is the advantage of institution,environment,industry and talent.

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