Driving Factors of China's Industrial Structure:1985-2010

This paper constructs a theoretical framework for the driving factors of industrial structure and conducts an empirical study on the driving factors of rationalization of industrial structure and the optimization driving factors of industrial structure based on measuring the rationalization and optimization of industrial structure.The results show that independent innovation capacity,technology absorption capacity,income growth,international trade and marketization are important driving factors of China's industrial structure.However,the contributions of these factors to rationalization of industrial structure and optimization of industrial structure are significantly different.We find that the optimization of industrial structure is the long-term and short-term causes of rationalization of industrial structure while the reverse causality does not exist.