The Empirical Study On The Efficiency Of Technology Innovation

Followed with the new growth theory in which technology acts as a endogenous factor, the study on the endogenous technology innovation goes deepen. On the basis of dominate and foreign literatures, we focus on the empirical study on the innovation efficiency in districts and in industries and find the important roles of innovation efficiency specially in the roads from innovation inputs to outputs and to the economic development. This article can be linked with the new growth theory and provide China a feasible path from the large country to the power country in technology innovation.The main points are stated as below:The R&D approach of a firm is correlated with the technological and knowledge environment around the firm. On the condition that the firm want to maximum the innovation efficiency, the more technological opportunity and the knowledge, the more identified the R&D approach is. So , it is very important to provide a environment beneficial to innovation.In theoretical approach, the technological and knowledge environment is included in the three-stage game model. The model shows a firm's R&D incentive is strengthened in order to absorb the environmental knowledge and therefore confirmed the two faces of R&D. At the same time, it conclude that in the superior enviroment, to increase the efficiency, the R&D approach of a firm has a trend to be identical with other firms. So the environment round the firm is very important to a firm.The innovation inputs, including R&D, endogenous absorbing capacity, technological opportunity, and the innovation outputs is not linear , with the influence of innovation efficiency , they form the "innovation trajectory , which confirms the advantage of what have had advantages and deepen the gap of superiors and inferiors, that is named "Mathew Effect" in innovation.In the technology innovation system, government, enterprises, colleges, and research institutes acted differently owing to the target and field of innovation. On the empirical study in the blocks and areas, we find the enterprises and colleges and government play prominent role in the eastern provinces and city which create the most efficient technology innovation. In China, generally speaking, colleges have a large effect in innovation system, enterprises have not been the main partner of innovation system, the role of colleges is very large and the institutes have the lowest effect. The efficiency of cooperation innovation of enterprises, colleges, and research institutes is yet not very strong. Therefore, a system should be build, in which enterprises act as the main innovator and cooperate with colleges and research institutes. The function of government is to provide a environment beneficial to innovation.The empirical study on the industries find , in comparison with foreign industries, our innovation efficiency is very low. Though large quantities of technology is imported, firms have not pay much attention on the absorbing, which lead to the low efficiency of innovation. Observing the influencing factors on technology innovation efficiency, I found that several factors such as the degree of industry open, the institutional innovation, and industrial agglomeration, have strong effect on the industrial innovation efficiency. So, in order to increase the efficiency of innovation, we can focus on these points.The eastern area of China have the most prominent efficiency , Shanghai, Jiangsu, Zhejiang, Shandong, and Guangdong, these five provinces and city in the eastern areas have the most inputs and innovation outputs, and at the same time, they have the highest agglomeration and economic development. The empirical study on the industries of these 5 provinces and cities confirm that economic development of some districts is due to production agglomeration but not innovation agglomeration. In Shanghai, Zhejiang, and Guangdong, we find the role of innovation agglomeration. Exactly, these three areas is just the three ones that are the most efficient provinces and city. So, we conclude that technology innovation is the engine of regional economic development specially in areas which innovation efficiency is high.On the whole, in the path from innovation inputs to innovation outputs and to regional economic development, the efficiency of technology innovation should not be neglected. In regional and industries empirical study, we all find the "efficiency paradox" that means the the efficiency is low though the inputs and outputs are all high. The paradox tell the truth that the innovation path should turn to "efficiency oriented" from "input oriented" model. This change would have positive impact on not only the innovation output but also the regional economic development.