A Researech On Techonlogy Progress And Influencing Factors

The technology progress is becoming a decisive factor in a country's economic development as well as a symbol of national prosperity. Since 1978, China's GDP has maintained an average annual growth rate of 9% and this rate has created a miracle of economic growth. Among the study of sustain ability of economic growth, this paper focus on the technology progress factor by empirical research.In this paper, we firstly gave the technology progress's definition, measure methods, and the main influence factors. Then considering the environmental factors, we introduced a directional technology distance function which is used to construct the Malmquist-Luenberge exponential model. By this model, we calculated the 28 provinces' technology progress rates between 1991 to 2008 in China and analyzed the dynamic changes, convergence and regional differences of technological progress. In this way, we gave a complete analysis of the technology developments of various regions in China since the 1990s.With the knowledge function, we also constructed a model which considered the main impact factors of China's technology progress. By the use of 28 provinces' panel data from 2000 to 2008,we empirically analyzed the technology diffusion, the R&D expenses, the human capital, the foreign investment activities' influences to technology progress.The empirical results showed that the technology progress had experienced a HIGH to LOW rate from high to low showing the trend of technological progress the national average rate process. Significantly convergent, the average rate in the whole country is 2.5%. The eastern part had the most obvious improvement in technology. Shanghai, Beijing and Heilongjiang had the highest rate of technology progress.The result showed that technology diffusion, R&D costs, human capital and foreign investment could improve the technological progress, while the interaction of R&D costs, human capital and foreign investments might have negative impacts to it.Foreign investments improved technology through competition rather than technology diffusion. The influent degree varied from different regions. In eastern and central parts, R&D, human capital and foreign investments had the most great impact to technology, while in the west, technology diffusion as well as R&D played the key role.Finally, considering the empirical results and China's technology developments, this paper gave some suggestions in speeding up regional technical proliferation, strengthening independent R&D investments, enhancing the level of human capital as well as rationally making use of foreign investments.