Urbanization has become the national strategy of ou r country. It is a prolonged complicated project. A s the relationship between urban and rural area is shackl ed by the planned economy and some systems interfer e badly with each other, development of urbanization is sha ckled. How to establish a new-type urbanization sys tem domestically has become a priority to our country. This paper will do the theoretical analysis based o n optimized Todaro Model and generate relative hypothesis to el aborate the relationship and mechanism of action be tween domestic migrations and system improvement in urban ization. In this paper it also uses econometric mod el to test what influences will be brought to urbanization by the changes of rural land system, national support system for agriculture, national agricultural pricing system h ousehold registration system, social security syste m and other relative institutional constraints. Systematic rese arches on different systems’ contribution to urbani zation will provide scientific basis for a better development o f new-type urbanization