TITLE:
Analysis on the Causes and Countermeasures of the Economic Predicament in the Northeast China
AUTHORS:
Feng Xiong
KEYWORDS:
Rapidly Decline of Industry Transformation & Upgrading, State-Owned-Enterprise Reform, Innovation-Driven, Invite Investment
JOURNAL NAME:
Modern Economy,
Vol.7 No.9,
August
25,
2016
ABSTRACT: The economy of
northeast China developed very well over the last 50 years. But now, as China
steps into the “new normal”, the economy of northeast China is declining
rapidly. The reasons are as follows. Firstly, the secondary industry is
important to northeast economy and the service sector develops slowly.
Secondly, state-owned enterprises contribute too much to the development while
the private enterprises are too weak. Thirdly, the only way to promote the
economy in northeast is investment. Last but not least, government’s investment
attraction is not effective. This paper illustrates some advice to promote the
economy. First of all, it may be urgent to develop tertiary industry. Second,
the reform of state-owned enterprises as Temasek Holdings is inevitable. Third,
the economic power should be changed from the investment-driven into innovation-driven
and the investment promotion mode should also be changed.