Are you in the loop? China’s co-evolution dynamics
Junda Li & Dwayne Woods
Abstract
This paper presents a co-evolutionary framework for analyzing China’s industrial ascent, focusing on sectors such as telecommunications (5G), electric vehicles (EVs), and semiconductors. Challenging linear models of technological upgrading, the study examines how state-market interactions, asymmetric feedback loops, and strategic policy interventions generate diverse developmental paths. Empirical analysis using patent authorization data (2000–2023) reveals distinct outcomes: telecommunications exemplify adaptive growth through state-backed innovation; EVs show initial success but risk stagnation due to market saturation and overcapacity; semiconductors highlight structural vulnerabilities amid geopolitical sanctions. Simulations validate the model, demonstrating sector-specific responses to external shocks. This research advances evolutionary economics by integrating endogenous state–market feedback into industrial strategy, emphasizing managed disequilibrium and resilience.
Evidence weight
Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40
| F · citation impact | 0.50 × 0.4 = 0.20 |
| M · momentum | 0.50 × 0.15 = 0.07 |
| V · venue signal | 0.50 × 0.05 = 0.03 |
| R · text relevance † | 0.50 × 0.4 = 0.20 |
† Text relevance is estimated at 0.50 on the detail page — for your query’s actual relevance score, open this paper from a search result.