Research On The Effect Of Financing Constraints On R&D Investment Of Enterprises

With the deepening of globalization, the increasing pressure from technology competition of enterprise makes technological innovation increasingly highlighted its position.As an important pillar for the sustainable development of the enterprise, the necessity and importance of technological innovation is also gradually recognized by the enterprise. In recent years, even through China’s R&D investment has been a great improvement, there is still room for improvement while compare to United States and other developed countries. China has recognized that the importance of R&D investment, But R&D investment is still relatively insufficient. And the key factor restricting the enterprise technological innovation in China is the lack of funds. The imperfect capitalist market makes the enterprises generally face limited financing channels, financing difficulties and other problems.Since 2003, China’s monetary policy has experienced three stages of adjustment. Although monetary policy is a macro-control means, but the ultimate goal is the role of micro enterprises. The monetary policy by changing the enterprise financing cost and financing scale, influence the degree of financing constraints of enterprises, and ultimately affect the company’s R&D investment. The study of the relationship among monetary policy, financing constraints and corporate R&D not only conform to the development trend of economic theory, but also provides a micro economic foundation for the theory of monetary policy.This paper based on the study on the relevant studies, firstly systematically reviews relevant research results of scholars. From the theory aspect research the relationship among monetary policy, financing constraints and R&D investment, then based on thisproposed the original hypothesis and use the listing Corporation data from 2007-2014 through multiple regression model to empirical test the relationship between financing constraints and corporate R&D investment. The results showed that: endogenous financing constraints is negatively correlated with corporate R&D investment; debt financing constraint and equity financing constraint are positively correlated with corporate R&D investment. The use of hierarchical linear model to test the adjustment effect of monetary policy on financing constraints and R&D investment shows: the monetary policy is the moderator of the endogenous financing constraints and debt financing constraints and investment in R&D while not the moderator of equity financing constraint and R&D investment. Finally, according to the above research conclusion, we put forward the following suggestions: enterprise should pay close attention on the information of monetary policy adjustment, adjust investment strategy according to the change of monetary policy timely and improve their ability to finance(such as to broaden the channels of finance and innovation finance means). The government also should be cautious to use monetary policy, accelerate the pace of financial reform proposals.This paper not only provides empirical support for the micro transmission mechanism of monetary policy but also provides new empirical evidence for related research of R&D investment. In addition, this paper from the regulating effects of monetary policy as entry point research the relationship among monetary policy,financing constraints and corporate R&D also provides a new perspective for future research.