Effect Of Factor Market Distortion On Total Factor Productivity Of Regional Industrial New Product

Innovation is an inexhaustible motive force for the sustainable development of a country.It is inseparable from the contribution of innovation to a country to develop and society to progress.As China's vast territory,complex terrain and other regional factors as well as economic openness and other economic factors exist,so that the level of economic development between the various regions of the differences as much as the gap between developed and developing countries.This disparity in economic development level is also caused by the unbalanced development of innovation efficiency among different regions in China.It is also necessary and important to study the degree of development of innovation efficiency in different regions and the gap between the eastern,central and western regions.Therefore,we can think about the development trend of productivity growth and innovation efficiency between the eastern,central and western regions of China.In addition,in the end what factors do affect the region's innovation efficiency improvement? How do these factors play a role in improving the level of regional innovation efficiency? These are the key points to be studied in this paper.After more than 30 years of reform and opening up,China's socialist market economic system has been gradually established,and the market-oriented development of the product market is gradually maturing.However,the process of marketization of factor markets is relatively slow compared with the rapid development of marketization of product market.The factor market distortions caused by the marketization process of the factor market seriously lag behind the phenomenon of the marketization process of the product market,what effect will it have on the improvement of the innovation efficiency of industrial enterprises in various regions of China? How compute the specific efficiency of innovation of China's industrial enterprises in the region? China's economic growth in the new focus for the "supply side" of the relevant elements of supply reform should take what kind of policy measures? In the next part of this study,we will look for the answers from the empirical results.In this paper,firstly the research background,purpose,content and significance of this paper are summarized.Secondly,it summarizes the relevant literatures on market distortions of factor markets and the related research on accounting method of total factor variance.It also explains the dynamics of the research on innovation efficiency both at home and abroad.Thirdly,using the malmquist index and MM(Metafrontier Malmquist)index to estimate the total factor productivity and new product total factor production of Chinese large and medium-sized industrial enterprises from 2000 to 2009 respectively,and find the difference between them.Finally,the definition and measurement of factor market distortions are introduced in detail,and the influence of factor market price distortions on innovation efficiency is analyzed quantitatively.In the final conclusion,the author emphatically elaborated the empirical results of this paper and answered the previous questions.At the same time,the supply of the perfect factor market in the "supply-side" reform of the new growth point of China's economy was formed.And it could provide relevant policy recommendations for the factor market system.Through the empirical research of this paper,the following conclusions are drawn: First of all,the gap between the innovation efficiency level of various regions in our country is widening,and the difference of total factor productivity is narrowing;secondly,the level of innovation efficiency is not absolute decreasing from east to west,but in the central region appeared "fault",the industrial innovation growth rate of the western part`s provinces was significantly higher than the central provinces.Thirdly,the eastern coastal areas are in a nationwide innovation leadership,while the majority of the central and western regions are in innovation catch-up effect;Fourthly,there is conditional convergence of industrial innovation efficiency in the nationwide and the eastern,central and western regions,while the innovation efficiency of the eastern region shows convergence of the club;Fifth,factor market distortions have an inhibitory effect on the improvement of regional industrial innovation efficiency,which is common to all regions and industries.And this inhibition is played by the relative efficiency of new products and the relative ratio of technology gap.In order to improve the efficiency of innovation and promote the process of "supply side" reform,some relevant policy recommendations are as follows: First,the Government should give full play to the macro-control functions,and guide the eastern coastal capital and technology to the central and western regions.Second,when the central and western regions undertake the transfer of industries,they should pay more attention to enhancing the independent innovation and combining with the advantages of regions to develop and are not just blindly accepting.Third,speed up the reform of the household registration system,welfare system,land system reform,and promote the process of civilization,improve the urbanization rate of household registration population,reduce the bond of labor.Moreover,to reduce the control efforts of the government's artificial price on the factor market,and promote the market-oriented reform of the national competitive factor market.Furthermore,we must speed up the reform of science,technology and education,optimize the input structure of the elements,achieving more innovation-driven.Finally,for the government to grasp the macro-control function,they should deepen reform and promote the supply of quality,standardizing government function.