Abstract for: How are China High-speed Railway Going under Government Assistance?

In the past ten years, China High-speed Railway has achieved a great success on construction and development, according to the research report from world bank 2019. However, the report also indicates the quite low EIRR (8%) and FIRR (6%). The achievement is guaranteed by a continual large invest of China railway company and China Government assistance. In this project, we use SD model to catch main structure which covers “Invest-Construction-Operation” and how government assistance works with the construction and operation of High-speed railway. The dynamics of structure indicates the significant meaning both and problems from government assistance. Firstly, in construction stage, abundant invest and fast construction would lead to overshooting which causes resource waste and social problems. Then in operation stage, the structure shows how China government realize the positive effect of high-speed railway to its most to economics and livelihood with financing assistance. On the other hand, the government intervene would also lead to an independent management problem to railway company. Therefore, based on the structure analysis and simulation result from SD model, the paper would give a detailed demonstration process for these findings in project and try to give a constructive proposal. (Video link: https://webportal.systemdynamics.org/web.portal )