Research On The Impact Of Internet Penetration On China's High-tech Industries

With the continuous integration of industrialization and information,the penetration and application of the Internet have a significant impact on the real economy,and has become one of the important means to promote the transformation of the old and new economic energy and upgrading of industrial structure,and promote China's economy into the high level.At the same time,the high-tech industry which is a information and knowledge-intensive industry is entering the rapid development of the "golden age".Therefore,it is of great practical significance to study the impact of Internet popularization on high-tech industry to better understand the integration of industrialization and information technology,in addition.For accurately analyzing the impact of Internet penetration on high-tech industry in the empirical process,we must consider and deal with endogenous issues.In view of the above problems and based on the theoretical analysis,this paper use the internet penetration rate to represent the popularity and application of the Internet,and introduce it into the total factor productivity,constructs the econometric model of internet penetration's impact on high tech industry based on C-D function of the Internet,use the 2003-2014 China provincial panel data to examine the impact on the popularity of the Internet Chinese high technology industry.For the endogeneity problem,this paper will solve the problem by the lag variable and instrumental variable after the controling time and area fixed effect.The results show that:(1)as a kind of general technology,the penetration of the internet not only reflects the diffusion degree of general technology,also represents the application level of the Internet telecommunications infrastructure,and the internet can promote total factor productivity by improving the high-tech industry technology innovation,reducing transaction costs and enhancing the trade openness of influence;(2)the basic empirical results show that the penetration of Internet has significantly positive effects on the high technology industry,even is still significant in the estimation result after considering the problem,so the penetration of the Internet has actually promoted the growth of high tech industry.(3)due to differences of time and region,there is a difference in the impact of the penetration of the internet on the high-tech industry.From the time level,the penetration of internet has more bigger impact on the the high-tech industries eastern region,from area level,The degree of impact on the high-tech industry significantly improved after the 2010.(4)the impact of government support on the output of high-tech industry did not achieve the desired effect.The level of financial development and the level of marketization contribute to the development of high-tech industry.Therefore,strengthening the construction of Internet infrastructure is the key to promote the integration of industrialization and information technology and help China's high-tech industry sustainable development.