By Shi Guang and Ma Mingjie, "Medium-long-term growth" research team, Development Research Center of the State Council (DRC)

Research report No 75, 2014 (Total No 4574)

Summary:

The focus of the innovative factors' layout has moved from China's inland to coastal areas over the past 20 years, with Beijing, Guangdong province, Jiangsu province, Shanghai, Shandong province and Zhejiang province ranking the top six in 2010.

The market has become a key driving force for restructuring of the layout of innovative factors. In addition, the gap has been widening among regions in the past 10 years. According to a comprehensive index, in 1991, the province with the most factors for innovation had 13 times more than the province with the least, 17 times in 2001, and 42 times in 2010.

China's regional development experience shows that innovation can have great impact on regional economic growth only if it reaches a certain point. In general, most regions in China have developed to the stage that innovation can play a bigger role. But, the multilayer layout of innovative factors has been initially formed. As a result, backwards provinces face more difficulties in trying to drive development through innovation. China should pay more attention to cultivate and improve innovative factors, and eliminate systemic barriers that prevent the flow of factors, in order to lay a solid foundation for innovation-driven development.