Study on Evolution of China’s Construction Industry Based on Input-Output Analysis and Complex Network

Abstract

Exploring the evolution of China's construction industry is conducive to the formulation of industrial policies. The construction industry is associated with many industries. Hence, the policies formed according to internal evolution of the construction industry are easy to direct the industry toward an unfavourable direction. This study aims to analyze the evolution of construction industry based on the relationships between the construction industry and other industries. The pull coefficients and push coefficients of China's construction industry during 2001-2015 were calculated based on the input-output table. Complex network topologies of industries were constructed, and network topologies were used to analyze the network centrality and the cohesive subgroups. The evolutionary trend of China's construction industry in interactions with other industries was explored. Results show that the pull and push effects of China's construction industry experience a sharp reduction. The construction industry has the inclination to be transformed from a pillar industry to an industry driven by other industries. The control of the construction industry in the network is weakened. In conclusion, using input-out analysis and complex network to study the evolution of China's construction industry can consider interaction of different industries, and provide certain theoretical references to formulate reasonable policies.

A Model for Construction Sector Development in Middle-Income Sub-Saharan African Countries

“…The second tries to assess whether construction investment leads to GDP growth or vice versa (Dasgupta et al, 2014;Aali-Bujari & Venegas-Martínez, 2021). The third employs input-output analysis to study the pull and push effects of the construction sector within the national economy (Gloser et al, 2017;Ali et al, 2019;Ma et al, 2019). Early influential papers investigating the role of construction in economic development (Strassmann, 1970;Turin, 1973;Drewer, 1980;Edmonds & Miles, 1984) were based on Keynesian economic philosophy, particularly on the features related to the role of capital formation in the process of economic growth and development.…”