Local Officials Change And Invest In Corporate R&D

China's economic growth has been hailed as a world miracle,government officials,as economic agents,in the area of economic development,such as the allocation of resources play an important role in the process of(Zhou Li Ann,2007).Under the "political tournament" promotion incentives,local officials will be policy burdens on to companies such as employment,social stability,in order to get more promotion capital.Micro enterprise also rely on in the process of growth management holds the ultimate control of the government to provide a stable business environment,with access to credit,tax incentives,financial subsidies and other resources.For promoting a country's long-term economic growth and technological innovation,improve the competitive advantage plays an important role in(Solow,1957).Long-term sustained downturn in the global economy,under the background of our country economy downward pressure,to keep the economy healthy,sustained high growth,smoothly across the middle-income trap,economic development model must be by the driven factors of into innovation driven,implement the endogenous economic growth.Because national innovation depends on enterprise innovation,enterprise innovation can not only improve its competitive advantage,but also can promote the development of macro economy,strengthen the national innovation ability.Government officials is a representative of the power,the heterogeneity of makes official replacement policy uncertainty is an important part of."Fiscal decentralization" and the special background of "political promotion system",China's local government officials more significant change caused by the uncertainty.Enterprises,including enterprise innovation behavior would be subject to the enterprise system environment(North and Thomas,1973),and environmental uncertainty,and on a higher level of uncertainty,especially for developing countries(Bloom,2013).In this paper,based on the existing literatures and theoretical research results at home and abroad,combined with relevant background and practical background,through the theoretical analysis is proposed in this paper,the research hypothesis and correlation model,starting from the level of listed companies and local officials to change events,the 2006-2015 level across China's communist party secretary change data as well as the Shanghai and Shenzhen a-share non-financial data of listed companies,to explore local officials to change its influence on enterprise's R&D investment level.The results show that:(1)the local officials to change more frequently in our country,enterprises face the policy uncertainty is bigger.(2)local officials to change affect the determination of enterprise R&D investment level;Extent of differences between different ownership property companies.(3)relative to the promotion of local officials,the new officials for long-distance call in local officials to change will lead to greater uncertainty,greater degree of influence on enterprise's R&D investment level.According to the findings,this article on how to improve business relations,reduce the local officials to change caused by policy and environmental uncertainty are also proposed.Including rich for evaluation system of local officials,maintain continuity and stability,as well as the new economic policy officials should be familiar with the local economic development.