Quantitative Study Of Domestic And Foreign R&D Inputs’ Influence On Chinese Industrial TFP

Technological progress and innovation is the driving force for the economic de-velopment of a country. In today’s globalized economy, the productivity of a countrydepends not only on its own R&D and human capital investment, but also the abroadspillovers of technology.In order to study the relationship between the total factor productivity and do-mestic and foreign R&D investment, this paper used industry panel data of the Chi-nese large and medium sized industrial enterprises from year2000-2010, by applyingthe DEA Malquist index measured the total factor productivity, technical efficiencyand technical progress of20industrial sectors. And then calculate the domestic indus-try R&D investment, domestic other industries R&D investment spillover, importR&D investment spillover, and non-materialized R&D Spillover. Based on this, es-tablish a dynamic panel data model for analyzing.The results show that, the R&D spillovers from other industrial sectors, importand non-materialization have significant promotion effect on total factor productivityand technical efficiency, while the own industrial sector R&D investment hamperedthe industry total factor productivity growth. Human capital is also the important de-terminant total factor productivity development, and its interactions with the R&Dspillovers from other industrial sectors, import and non-materialization are signifi-cantly contributed to the growth in total factor productivity.