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In the past two years, the debate on industrial policy in academia has been in the ascendant. The general view is that at present, China is not a question of whether it wants an industrial policy, but what kind of industrial policy it wants. This book argues that due to the profound changes in the domestic and international environment, institutional background, and factor conditions facing China's industrial development, industrial policy must be transformed to return to the origin of making up for "market failures", while avoiding "government failures". To this end, it is suggested to establish a "market-friendly" industrial policy system led by functional industrial policies in accordance with the requirements of building an "interactive and cooperative" government-market relationship to help China's industrial transformation and upgrading.（AI翻译）
