The Degree of Centralization of P. R. China’s Construction Industry

The degree of centralization indicates the concentration of production management in a particular industry and is an important indicator to reflect industry and market structures. We use the concentration rate ( ) to analyze the concentration of the construction industry from 2000 to 2005 in P. R. China and compare that industry with others in the country. We also use a Lorenz curve to analyze the industrial structure of P. R. China based on data from P. R. China and developed countries. We conclude that the concentration of the Chinese construction industry definitely has developed; there still exist, however, considerable gaps when it is compared with counterparts in developed countries. We therefore discuss ways to improve the degree of centralization of the Chinese construction industry, based on the laws and regulatory system, market order, and industrial and enterprise structures.