Abstract:

There are four basic aspects in government supply side reform， i.e.， system， policy， environment and resources. Equipment manufacturing industry is an important trigger point and active field in government supply side reform. Using an in-depth interview， the development situation of equipment manufacturing industry in two typical cities of S Province was investigated. It was found that government supply side reform faces such problems as market subjects with unequal status， ineffectiveness of policy implementation， excessive government intervention in the market， and government differentiated resources supply. It is， therefore， advisable to construct mature and stable systems， implement accurate and powerful industrial policies， create a relaxing and free environment for development， and provide fair and effective resources support.

Key words: supply side reform, equipment manufacturing industry, industrial policy, government intervention