Study Of The Impact Of "VAT Reform" On Transformation And Upgrading Of The Textile Industryin Shaanxi Province

Shaanxi Province was one of the important base of textile industry,and textile industry is one of the eight pillar industries of Shaanxi Province,which was the first big industry,the first large profit tax and foreign exchange earning.After the 1990 s,Shaanxi Province had no change on “policy embedded type” model of developmentunder in the planned economy times,which lead to industry decline,and the widening gap between eastern coastal areas and Shaanxi Province.Fit our tax system reform since 2004,whose theme is to promote the national economy to adapt to the new normal economic through the “structural tax cuts”.“VAT reform” reflects the determination of government to promote the economic development mode change and industries transform and upgrade.Textile industry will transform and upgrade inevitably through technology upgrading,e-commerce,information and Internet of things.These activities will be affected by the “VAT reform”.“VAT reform” conforms to the historical trend and accelerates the process of depth fusion of textile industry and service industry.The industry structure optimization and technical breakthrough are the necessary paths of transformation and upgrading.There are three focus in this paper.First,the status of transformation and upgrading of shaanxi textile industry.Second,whether and how the “VAT reform”policy can promote the transformation and upgrading of textile industry in Shanxi Province.Third,how to put forward reasonable suggestions for transformation and upgrading of Shaanxi Province textile industry.Surrounding about the above content,this study bases on the influnce of“VAT reform”on the textile industry.Making Shaanxi Province as the research object,bases on data provided by the Shaanxi textile industry association,selects of time series from 2011 to 2015,using the factor analysis,multiple linear regression and intermediary effect inspection analysis method based on Bootstrap and SPSS19.0software and Hayes process plug-in as a tool for empirical research.Put forward the corresponding empirical suggestions aims at the influence of “VAT reform” on Shaanxi textile industry transformation and upgrading.In this paper,the main research work and innovations can be summed up in the following aspects:1.Set up the index system of textile industry transformation and upgrading,and use factor analysis method to calculate the score of transformation and upgrading,and evaluate the status of Shaanxi textile industry transformation and upgrading.2.Analysis the influence mechanism,author thinks that “VAT reform” takes effect mainly through two ways.One way is that “VAT reform” reduces the tax burden,which is beneficial to the generation of leadership service enterprises.Textile industry transform and upgrade takes place when leading service enterprise intervents textile industry,which lead the imitative innovation and improvement,enhancing the level of technology.Another is due to the VAT deduction chain,leading the convergence of textile industry and service industry,which create the core technology and independent brands,to climb high value-added links on industrial chain.3.Using multiple linear regression and intermediary effect inspection analysis based on the Bootstrap test methods to conduct the empirical analysis to verifies the correctness of theoretical analysis.Results showed that: “VAT reform” indeed promotes transformation and upgrading of the textile industry of Shaanxi Province.But the impact way is different with expectations.Theoretical analysis thinks that“VAT reform” policy impact transformation and upgradingby by investing in R&D and marketing intermediary effect.But the empirical results show that the “VAT reform” affect the transformation and upgrading only through R&D investment.4.There are two innovation points in this paper.First,the scope of study breaks through traditional range.The study focus on the long-term effects of tax policy to promote the transformation and upgrading.Second,the traditional study of industrial policy impact focus on the short-term policy,while the long-term policy research is almost blank.