Research On The Effect Of Innovative Entrepreneurial Driving Employment

In June 2015,China officially put forward some specific measures to encourage innovation and entrepreneurship in the form of document by the central government,which clearly proposes to vigorously develop innovative entrepreneurship to drive employment.Considering the lack of related research on innovative entrepreneurship driving employment,this paper makes up for this gap in China,mainly focusing on the effect of innovative entrepreneurship driving employment,which can be summarized as "whether innovative entrepreneurship can drive employment","What effect does it have?" and "How much effect does it have?".This paper uses the framework of classical labor demand theory to assume the innovative enterprises as monopoly in short term,but competitive enterprises in long term,which can theoretically show that innovation-based entrepreneurs can create labor demand.Then,according to the characteristics of labor demand in short,medium and long term,this paper puts forward the job creation effect,market creation effect,shock effect and time lag effect of innovative entrepreneurship.In order to verify the existence of these four effects and measure the size of specific effects,this paper uses the number of effective invention patents per 10,000 jobholders to measure the innovation spirit of enterprises and dynamic Almon distribution lag model is used to analyze the relationship between innovative entrepreneurship and employment.In order to improve the estimation accuracy,this paper uses the method of system GMM.The empirical results show that there are job creation effect,market creation effect,shock effect and time lag effect in the process of driving.It is the employment effect is positive and the rate will be driven by 0.19% from 1 to 2 years;From 3 to 7 years,innovation makes employment rate continue to decline,and the impact is-0.46%;Eight years later,innovation will once again lead to employment rate rise,and the effect is more obvious.Innovative entrepreneurship-led employment is overall U-shaped lag structure.According to the conclusion of the study,the author believes that we should encourage innovation-oriented entrepreneurship,reduce the proportion of traditional entrepreneurship,respect the law of the market and ensure full competition.We should strengthen innovation and entrepreneurship education,focusing on the combination of "learning,researching,innovating and product.Open up financial institutions for innovative venture capital financing channels,and improve the precise of funds using;Government departments should establish a long-term perspective,fully be aware of effect of innovative entrepreneurship driving employment,and ensure the greatest degree of the effect.