Beijing Municipal Government Investment In Science And Technology Contribution To Economic Growth

The economic development more and more depends on scientific development in the 21^st century which is an era of knowledge and economy. Countries are beginning to realize the importance of science, research and technology for national development in economy and society. The financial input in science from local governments is an essential part of the whole one not only for the developed but also for the developing. Furthermore, it means too much for regional growth in economy. This paper attempts to analyze the contribution of the financial input on science from the Peking government for the economic growth on the basis of the related historical statistics on Peking and other government scientific financial input.It starts from the dynamic Econometrics theory, uses the Dynamic Model and analyzes features of the Time Series and the permanent relationship, and then builds up the Permanent Equilibrium Model reflecting relation between variables. Secondly, it has tested the variables' relationship by the Granger test of causality. Finally, the paper compares regional difference of the contribution of local financial input for the economy by the model of Panel Data, and explores the problems exiting in the Peking Government Scientific Input.It concludes: 1. the dynamic relationship between Peking's economic growth and the governmental scientific expenditure is anglicized; 2. the expenditure for science from the Peking Government is main causation that brings about economic growth; 3. there are regional differences in the contribution of the local government scientific input for economic growth, and the Peking one is low comparatively. Basing on the conclusions, the paper makes some suggestions on politics.