Do place-based policies shape the industrial diversification path in underdeveloped cities? Evidence from China’s development zone policy
研究中国开发区政策对欠发达城市产业多元化的影响，发现该政策促进了基础技能产业的多元化，尤其是无关多元化，有助于快速丰富产业组合。
This study explores the impact of place-based policies on shaping the industrial diversification path in underdeveloped cities, emphasising implementation strategies aligned with local industrial structures and dominant knowledge bases. Using China’s development zone (DZ) policy as a quasi-experiment, we find that the policy promotes the diversification of basic-skill industries, rather than advanced-skill industries. Specifically, the policy prioritises the unrelated diversification of basic-skill industries, shaping their growth in a path-breaking trajectory. This strategic focus can rapidly enrich industrial portfolios and broaden the spectrum of recombinant opportunities for future diversification in these cities.