MIL-OSI China: The New Kinetic Energy Index of China’s Economic Development Increased by 35.3 Percent in 2020

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Source: National Bureau of Statistics of China

In order to dynamically monitor the changes in the new kinetic energy of China’s economic development, the Institute of Statistical Sciences of the National Bureau of Statistics calculated the new kinetic energy index of China’s economic development in 2020 by using the fixed base index method based on the statistical monitoring system for new industries, new formats and new business models and the statistical index system of the new kinetic energy of economic development, and revised the historical index data from 2015 to 2019. The results showed that the new kinetic energy index of China’s economic development from 2015 to 2020 (taking 2014 as 100) were 119.6, 146.9, 191.2, 257.9, 325.5 and 440.3 respectively, an increase of 19.6, 22.8, 30.2, 34.9, 26.2 and 35.3 percent over the previous year. In 2020, all sub-indexes increased compared with the previous year, among which the network economy index grew the fastest and contributed the most to the growth of the total index.

 

I. Network economy index

 

In 2020, the network economy index was 1323.6, an increase of 54.8 percent over the previous year, and the contribution rate to the overall index growth was 81.7 percent.

 

II. Economic vitality index

 

In 2020, the economic vitality index was 324.1, an increase of 17.4 percent over the previous year, and the contribution rate to the growth of the overall index was 8.4 percent.

 

III. Innovation driven index

 

In 2020, the innovation driven index was 239.1, an increase of 18.1 percent over the previous year, and the contribution rate to the growth of the overall index was 6.4 percent.

 

IV. Knowledge capability index

 

In 2020, the knowledge capability index was 163.7, an increase of 10.0 percent over the previous year, and the contribution rate to the overall index growth was 2.6 percent.

 

V. Transformation and upgrading index

 

In 2020, the transformation and upgrading index was 150.7, an increase of 3.6 percent over the previous year, and the contribution rate to the overall index growth was 0.9 percent.

 

 

 

New Kinetic Energy Index, Classified Index and Growth Rate of Economic Development in 2015-2020

 

Item

2015

2016

2017

2018

2019

2020

Index

Value

Growth Rate(%)

Index

Value

Growth Rate(%)

Index

Value

Growth Rate(%)

Index

Value

Growth Rate(%)

Index

Value

Growth Rate(%)

Index

Value

Growth Rate(%)

 

 

 

 

 

 

 

 

 

 

 

 

 

New Kinetic Energy Index of Economic Development

119.6

19.6

146.9

22.8

191.2

30.2

257.9

34.9

325.5

26.2

440.3

35.3

Economic Vitality

127.7

27.7

163.1

27.7

198.9

21.9

234.0

17.6

276.0

17.9

324.1

17.4

Innovation Driven

113.8

13.8

126.6

11.2

143.8

13.6

174.8

21.6

202.4

15.8

239.1

18.1

Network Economy

136.3

36.3

200.1

46.8

362.3

81.1

601.6

66.1

854.9

42.1

1323.6

54.8

Transformation and Upgrading

107.4

7.4

119.8

11.5

122.6

2.3

143.2

16.8

145.4

1.5

150.7

3.6

Knowledge Capability

112.6

12.6

125.1

11.1

128.5

2.7

135.9

5.8

148.8

9.5

163.7

10.0

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Appendix:

 

China’s Innovation Index System and the Compiling Methods of the Index

 

I. Statistical Indicator System and Calculation Method of New Kinetic Energy Index of Economic Development

 

The new kinetic energy index of economic development refers to the statistical indicator system with new industries, new business formats and new business models (referred to as “three new”) as the main contents, the details are as follows:

 

Item

Weight

No.

Indicator

Unit

Knowledge Capability Index

0.2

1

Proportion of Economically Active Population with Master’s Degree or Above

%

2

The Proportion of Professional and Technical Personnel in the Employees of “Four Top” Enterprises

%

3

Proportion of Information Personnel in Non-information Departments

%

4

Full Time Equivalent of R & D Personnel per 10000 Employees

Man-year

Economic Vitality Index

0.2

1

Number of New Registered Market Entities

10,000 units

2

Number of Technology Business Incubators

unit

3

Number of Enterprises in National High-tech Development Zone

unit

4

Amount of Foreign Capital Actually Used

100 million USD

5

Express Business Volume

100 million pcs

6

Proportion of Industrial Enterprises With R&D Activities

%

Innovation Driven Index

0.2

1

Ratio of R & D Expenditure to GDP

%

2

Proportion of Basic Research Funds in R&D Expenditure

%

3

Enterprise R&D Funds

100 million yuan

4

Accumulative Number of Graduated Enterprises in Science and Technology Business Incubator

unit

5

Number of Patent Grants per 10000 R & D Personnel

piece

6

Contract Amount of Technology Market

100 million yuan

Network Economy

Index

0.2

1

Number of Fixed Internet Broadband Access Users

10,000 subscribers

2

Number of Mobile Internet Users

10,000 subscribers

3

Mobile Internet Access Traffic

10,000 GB

4

Transaction Volume of E-commerce Platform

trillion yuan

5

Cross Border E-commerce Transaction Volume

trillion yuan

6

Proportion of Online Retail Sales of Physical Goods in Total Retail Sales of Consumer Goods

%

7

Substitution Rate of Online Shopping

%

Transformation and Upgrading

Index

0.2

1

Proportion of Added Value of Strategic Emerging Industries in GDP

%

2

Proportion of Added Value of High-tech Manufacturing Industry in Added Value of Industries Above Designated Size

%

3

Number of Agricultural Industrialization Management Organizations

unit

4

Proportion of “Four Top” Enterprises Selling Goods or Services Through E-commerce Trading Platform

%

5

Proportion of High-tech Exports in Total Exports

%

6

Reduction Rate of Energy Consumption per Unit GDP

%

 

II. Calculation Method of New Kinetic Energy Index of Economic Development

 

The new kinetic energy index of economic development is a composite index constructed by using the basic data of “three new” surveys and the comprehensive evaluation method of linear weighting, which is used to reflect the development trend and process of new economic momentum. In order to better reflect the long-term change trend of new kinetic energy and dynamically monitor the accumulation process of new kinetic energy, the calculation method of new kinetic energy index of economic development is fixed base method, that is, taking 2014 as the base period, the index value represents the change trend of new kinetic energy of economic development in the reporting period compared with 2014. The specific steps are as follows:

 

1.    Standardization of Basic Indicators

 

The standardized treatment of basic indicators is as follows:

Among them, is the corresponding index of , is the value of the reporting period and is the value of the base period. The base period selected for the index in this report is 2014, that is, it is calculated with 2014 as 100.

 

In addition, the index is converted into positive index by reciprocal method when the basic evaluation index is an inverse index, and then calculated by the above formula.

 

2.    Calculation of Classification Index

 

The classification index formula of the new kinetic energy index of economic development is as follows:

Where, is the weight of , is the index value of the classification, is the ordinal number of the first basic index in the whole index system in the category of , and is the ordinal number of the last basic index in the whole index system in the category of .

 

3.    Calculation of New Kinetic Energy Index of Economic Development

 

The calculation formula is as follows:

Among them, NEI is the new kinetic energy index of economic development and is the weight of classification index of .

 

4.    Calculation of Contribution Rate of Sub Index to Total Index Growth

Contribution Rate=(Sub Index in Reporting Period-Sub Index in Last Year)×Sub Index Weight/( Total Index in Reporting Period-Total Index in Last Year)×100% 

 

III. Other Technical Notes on Index Calculation in 2019

 

1. Some indicators in 2019 are calculated according to the preliminary or estimated data of the current year.

 

2. According to the new situation and characteristics of the “three new” economic development in recent years, the new kinetic energy index revised and improved the original statistical index system of new kinetic energy of economic development, and revised the new kinetic energy index of economic development from 2014 to 2019 according to the latest index system.

 

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