Why does China's Industrial Structure Upgrade so Slowly?——Based on the Test of Double Effect of Local Government Behavior and State-owned Monopoly

China has experienced rapid economic growth for over 30 years,but problems like low input-output ratio and industrial structure imbalance remain outstanding.We found that the slow upgrading process of China's industrial structure linked closely with China's transformation background.There are mainly two aspects about the main features of China's economic transition:one is the local governments' intervention in the economy;and the other is state-owned monopoly interest groups' influence on economy.This is precisely why this paper reveals the slow upgrading process of China's industrial structure based on this kind of logic,and particularly focuses on how administrative monopoly,which is the combination of local government behavior and state-owned monopoly,affect industrial structure upgrading.This paper concludes that the local government-led development pattern is not conducive to industrial structure upgrading,a purely state-owned monopoly does not adversely affect industrial structure upgrading,and their combination-administrative monopoly is the important factor to hinder industrial structure upgrading.In addition,local government behavior and administrative monopoly in east regions have more significantly negative impact than those in the central and western regions.