The Analysis On The Efficency Of The Science And Technology Research Programs Funded By The Governments

It is obvious that more and more governments believe that scientific and technical development plays critical roles in economic growing. At same time, some market failure conducted by the universal character of science and technique is also a good excuse for governments to interfere with the market.. In some developing countries, the desire to catch up with the front line of technology makes the government to support and interfere R & D activities to be popular in these countries.Accordingly, it is important for the governments to answer the questions from public on the cost and benefit analysis of the investment efficiency about the R&D funded by governments, under the principle of the welfare economics.In this essay, the efficiency of R&D investment funded by Chinese government was analyzed by using data obtained from Statistics China in more than ten years, the conclusion, strengths, weaknesses and recommendations were provided:1.Reviewed the welfare economics related topics such as the theory on government funded science and technology development; theory on evaluating performance and efficiency in literature trying to figure out the proper methods to measure the efficiency of the government funded R&D; definition of efficiency; the production boundary; knowledge production function and comparison of the efficiency of metric distance function and some other methods, such as the non-parametric methods and parametric methods in the DEA SFA methods.2. An Empirical Study of the efficiency measurementThe study showed that it is reasonable to use the intelligent patient as the only variable in the knowledge production function, when 12 years data were examined from 29 provinces and autonomous regions in China, since 1997-2008, by using cointegration model. The study also examined the intelligence output and lag periods of man power investment, government investment and technology investment elasticity by using the fixed effects model.It is also illustrated that the efficiency of government funded R&D by using non-parametric DEA method, the efficiency of redundant variables and parameters measured in the SFA method coefficient of government investment variables. Results show that the same data sample, the DEA and SFA efficiency in the provinces rank consistency, efficiency of investment in the financial technology also has the consistency of relative rankings. Found in the SFA analysis, the government financial investment growth rate (lagged one) the contribution rate for the efficiency coefficient is 0.28, the efficiency of human resources for the growth rate of the contribution coefficient is 0.96, indicating the positive effects of the two input variables, Moreover, China's total investment in science and technology investment in the efficiency and the efficiency of financial science and technology are growing year by year. The comparison was conducted between three regions and inter-provincial comparison the overall efficiency technology and financial technology investment in the efficiency of investment.Using 1998-2006 data, split into the provinces in the central government technology investment and technology R & D Expenditure, constructed as a denominator based on several scientific and technical personnel decentralization indicators, the use of Cobb-Douglas function form, using a fixed effect variable re-weighted two-step regression intercept model, empirical results show that local financial input growth (lag one) have a significantly positive effect on output elasticity of 0.65, decentralization indicator (current) elasticity of 0.66, the local government in science and technology outputs have a good positive effect. Comparison in the East Midwest and found that the central region of the local government pay more attention to the target point for the input and output. Empirical Analysis of the control variables, we found that GDP if the overall economic environment and as a reflection of the general indicators of the living environment has a significant positive effect of lag phase, while the spillover effect of FDI investment is negative. In addition, the technology is not actively traded index to scientific and technological output of the impact brought about statistically significant, indicating that China's technology markets are underdeveloped.3.United States is a leading global example; Japan and South Korea are similar to our government-led investment model. A detailed analysis of the three countries and other developed countries and innovative national comparison of typical common excavation, sorts out the draw for Science and Technology Investment ideas. By international comparison, and comparison within the ideal value of the distance, the paper illustrates the problem of R & D Expenditure, Financial Investment in China's current, mainly, Financial Investment in strength is not enough, basic research and development into a more low-intensity, ratio of scientists and technicians per thousand severe low single tax incentives, direct investment in a single channel, in the scientific and technological achievements of government funds to invest much into the role, the results were not significant. In addition, input selection mechanism and funding deficiencies on the use of regulatory mechanisms. Next, steadily increasing the proportion of science and technology funds in GDP, increase the number of government investment to invest in basic research and development with industry gathered to strengthen and help the direction of the input model for regional balance and local governments to further review the application of technology in an appropriate increase in self-rights-based approach, is a good reference.Through the above factors on China's science and technology input and output of the input-output model based on empirical measurement of efficiency and the efficiency of financial investment associated with other quantitative analysis, combined with international comparison, the analysis of a series of conclusions based on empirical research, for our fiscal science and technology investment strategies and related policy formulation and implementation of an empirical basis and decision-making.