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Innovate Regional Policies on New Production Factors to Effectively Control the Widening of a New Round of Regional Disparities (No.387, 2021)

Feb 09,2023

By Sun Zhiyan, Research Department of Development Strategy and Regional Economy, DRC & Zhao Hui, Party School of Gansu Province (Gansu Institute of Public Administration)

Research Report, No.387, 2021 (Total 6452) 2021-12-14

Abstract: After entering the stage of high-quality development, the development of relatively backward areas in China is faced with a series of new challenges, such as technological progress, carbon emission reduction and population aging. The development gap between the above-mentioned areas and developed areas is accelerating, which is an urgent issue to be addressed to promote balanced regional development and achieve common prosperity in the new era. This report notes that China should take the new factors of production as the core, establish a “market-demand”-oriented supporting policy system for backward regions, take “smart city” as an important platform for regional policies in the new era, form comprehensive policy effects, release the technological demand of backward regions, and guide the inflow of new production factors. It is also necessary to establish a nationwide technology network, promote the equalization of the spatial distribution of “technologies”, and promote the fairness of inter-regional development opportunities. The government need to strike a balance between technology transfer and protection of intellectual property rights, and reduce the cost of the spread of new technologies to underdeveloped regions. Besides, policies on digital infrastructure and data elements need to be improved to accelerate the formation of digital ecosystems in backward areas.

Keywords: regional disparity, balanced development, new production factors, regional policy