How to promote the green development of the economy and society is the core issue of the current era. As a new policy concept, green industrial policy is of great significance to solve the bottleneck problem faced by China’s green development. In view of this, based on the perspective of industrial policy, this paper makes a thorough analysis of the theoretical mechanism of green industrial policy, and analyzes the problems existing in the green development of China’s industry and the corresponding policy practice. The study shows that: (1) Green industrial policy is the reform of traditional industrial policy, environmental policy and their relationship under the background of green development concept; its essence involves the profound reform of the economic model, technological conditions and institutional structure, in which the core lies in promoting sustainable technological breakthroughs, and the difficulty lies in coordinating different conflicts of interests and undertaking the risk of uncertain policy intervention. However, in the current understanding of green industrial policy, whether it is industrial policy focusing on economic benefits or environmental policy focusing on internalizing the external cost of the environment, its essence cannot cover the development of green industrial policy. (2) China’s green industrial policy is rooted in the practice of solving the problem of decoupling environmental externalities from economic development, and its policy focus is still on the combination of administrative compulsory means and traditional industrial policy, with insufficient attention paid to the role of the market mechanism and the coordination between policies. (3) The key to building and perfecting China’s green industrial policy system lies in promoting the coordination of industrial policy and the market mechanism, industrial policy and environmental policy, forming a new path of development in the combination with the market mechanism, paying attention to the coordination and complementarity of policy tools, and establishing an organizational mechanism to promote policy coordination. Specifically, it is necessary to give full play to the basic role of the market, promote the direction of social change and technological innovation to reach consensus among different interest groups, and evaluate and improve the supporting projects from the two dimensions of policy system coordination and institutional system purposefulness. This paper attempts to provide guidance for the construction of the green industry policy system in line with China’s national conditions and tries to provide a theoretical basis for the policy formulation to promote China’s green development.
Green Industrial Policy: Theory Evolution andChinese Practice
Journal of Finance and Economics Vol. 45, Issue 08, pp. 4 - 27 (2019) DOI:10.16538/j.cnki.jfe.2019.08.001
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Cite this article
Li Xiaoping, Zhang Yijun, Jiang Feitao. Green Industrial Policy: Theory Evolution andChinese Practice[J]. Journal of Finance and Economics, 2019, 45(8): 4-27.