| With the development of world and knowledged-based economy, innovation is the based driving force for the regional economy, in the same time, it can decide the capability of competition and development, the capability of innovation become the key elements to improve the regional economy, and innovation human resource, innovation financy innovation foundation and knowledge resource can be innovation focus of world. It is the core eare that regional innovation system improve innovation resource allocation efficiency, enhance regional innovation capability, promote regional economy development, and enhance regional competitiveness.In fact, capability and efficiency of regional innovation can be restricted by objectives conditions, such as the level of regional economics development and foundation of regional kownledge, in the process of regional innovation. So it is impossible that using expend the scale of resources into innovation increases the scale of innovation output and improve regional innovation capability in the short term. In order to improve the regional innovation capability, it is one way that improving the innovation efficiency can promote the innovaiton output in the scale of reources into innovation under established conditions, it can promote regional innovation capability as soon as possible based of past innovation capability.The paper consider the regional innovation capacity and regional innovation efficiency as research subject, based on the technical innovation theory,regional innovation capacity theory and regional innovation efficiency theory , analysis on constituent elements and features of regional innovation capacity and regional innovation efficiency. This paper think the regional innovation capacity is composed of four elements, which are regional innovation input element, regional innovation output element, regional innovation potential element and regional innovation supporting environment element. the regional innovation efficiency in this stage reflect situation of input-output innovation resources, whether the configuration of regional innovation resource is reasonable, whether the regional innovation resource causes waste; another is the process regional innovation output transfer the socal efficiency, which is the diffusion process from the innovation achievements to social effectiveness, put forward countermeasures and suggestions, the content is divided into five parts:1. Effective elements and formation of the regional innovation capability and efficiencyStudied on the regional innovation capability and efficiency, based on the technology innovation, theories of regional innovation capability and regional innovation efficiency, this paper analysis effective elements and features of regional innovation capability and efficiency, the paper considers the regional innovation capability is composed of four elements, including regional innovation input elements, regional innovation output elements, regional innovation potential elements and regional innovation supporting environment. The regional innovation efficiency is the new innovation products and services under the re-combinations innovation input elements. This kind of output is displacement of production function in the economic view, and this paper considers the regional innovation efficiency is composed of innovation funds, innovation human resources, scientific laboratory equipments and innovation formations.2. Correlation analysis of regional innovation capability between regional innovation efficiencyBased on"Solow residual value"theory, from expatiating the relationship of technological progress, innovation efficiency between economic growth, regional competitiveness and regional innovation capability. From input-output of regional innovation capability and regioanl innovation efficiency, the paper analysis cultivation and the formation fo regional innovation capability, and act the function of innovation efficiency in the formation process of regional innovation capability, this paper deem that the regional innovation capability is a cycle process, the current regional innovation capability is composed with post regional innovation capability and current regional innovation efficiency, based on this line of thought, the paper masters the whole formation process of the regional innovation capability, in the paper the formation process of regional innovation capability is descripted in detail, and in the same time, explains the correlation analysis of regional innovation capability between regional innovation efficiency.3. Measurement of regional innovation capability and regional innovation efficiencyFor the measurement of regional innovation capability, regional innovation efficiency and correlation analysis of regional innovation capability between regional innovation efficiency, and from the comparison with many kinds of measurements for regional innovation capability, regional innovation efficiency and orrelation analysis of regional innovation capability between regional innovation efficiency, this paper uses factor analysis method, data envelopment analysis, time series/cross section data on measurement of regional innovation capability, regional innovation efficiency and correlation analysis of regional innovation capability between regional innovation efficiency.4. Constructing the theoretic model and empirical analysisBased on the thoery and mechanism of regional innovation capability and innovation efficiency, combination with methods of regional innovation capability, regional innovation efficiency and correlation analysis of regional innovation capability between regional innovation efficiency, constructing models of regional innovation capability, regional innovation efficiency and correlation analysis of regional innovation capability between regional innovation efficiency, and making empirical analysis of regional innovation capability, regional innovation efficiency and correlation analysis of regional innovation capability between regional innovation efficiency in 30 region in China. The first two models of input-output in regional innovation capability and innovation efficiency constructs model, and then the last model use time series/cross section data to prove the orrelation analysis of regional innovation capability between regional innovation efficiency.5. Strategies and suggestionsFrom research on the thoeries and mechanism of regional innovation capability and innovation efficiency, and combination with empirical analysis of regional innovation capability, regional innovation efficiency and correlation analysis of regional innovation capability between regional innovation efficiency, in order to solve the current problems of improving regional innovation capability and promoting regional innovation efficiency, this paper puts forward countermeasures and suggestions: firstly, increasing the innovation funds input in region; secondly, increasing the government innovation fund input; thirdly, consummating regional innovation surpporting environment; fourthly, reserving regional innovation potential resources actively; fifthly, promoting inter-regional cooperation.
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