Author(s)

Huo Siyu

Corresponding Author

Huo Siyu

ABSTRACT

As China’s economy has entered the “New Normal”, how to shift form a factor-driven, investment-driven economy to an innovation-driven one need further studies. The article identifies proximate causes of economic growth, illustrates why innovation is the single, most important component of economic growth in the long run, and presents several channels through which innovation drives economic growth. Furthermore, the article makes some suggestions in line with the national conditions of China.

KEYWORDS

Innovation-driven, economic growth, technological innovation, institutional innovation