Government Technology Investment And Tax Policy In International Comparative Study

Science and technology (S&T) plays a definitively role in the era of knowledge economy. The characteristic of positive external benefit determines that the supply of S&T depends on the support of government. Under the condition of market economy, the issue, how to make full use of the role of government on the optimizing S&T resources allocation, has become a strategic matter influencing the development of economy and society.Based on the systematic analysis of public goods, exterior characteristics, uncertainty and venture features, this article uses economy theories such as resources allocation efficiency theory, public goods theory and exterior theory, analyses the experiences of government investment and tax policies of all the countries, analyses the achievements and problems which Shandong provincial government has made and is facing, and put forward proposals on how Shandong provincial government strengthen its support to science and technology in investment and preferential policies, the first is to increase government's investment; the second is to adjust the priorities of government support to R&D activities while the other S&T activities be promoted by tax preferential policies; the third is to improve the legal power of tax preferential policies and make more efforts to check about the implementation of the policies.This article's innovative features lie in the following: the first is a systematic analysis and interpretation of the characteristics of S&T activities; the second is to discuss the different ways how government supports and S&T activities by theories such as resources allocation efficiency theory, public goods theory and exterior theory; the third is to get the conclusion that science and technology tax preferential policies are more favorable than government investment in attracting enterprises to increase their S&T investment after an analysis of the relationship between the Shandong enterprises' R&D investment and government's budget support and its tax exemption support, thus offering reference on the priorities of government investment and tax preferential policies.