Research On The Influence Of Government Subsidy On Enterprises' R&D Innovation

Government subsidy is not only an important means for the country to support the development of specific industries,to encourage enterprises to research and develop,but also an important source of funds for R&D investment.But because of the differences among characteristics of industries and conditions of companies,different companies will make different R&D investment decisions,which will have different effects on their own innovation ability.Therefore,by using panel data from 2010 to 2015,this article empirically tested the effects of government subsidies on research and innovation strength of enterprises from R&D input and patent output dimensions,which belonged to six representative industries in China's real economy.The empirical results showed that:(1)for the "iron and steel,cement and transportation" traditional manufacturing industries,government subsidies had a significant incentive effect on the R&D inputs of listed companies,but had a significant negative correlation with the number of patent application;(2)however,for the "medical biology,energy saving and environmental protection,new energy"emerging researching industries,the effects of subsidies on R&D inputs and patent output were completely opposite to the former;(3)in the traditional manufacturing industry,R&D investments had positive partial mediating effect on relation between government subsidies and patent output,but in the emerging researching industry,the partial mediating effect of R&D investment is negative.Therefore,this paper proposes implementing rational allocation policy of industrial government subsidy,establishing a system of subsidy information disclosure to prevent power rent-seeking and reduce information asymmetry between external investors and enterprises,strengthening the supervision of use of R&D funds in middle and later stage,also maintaining the protection of intellectual property rights at the appropriate level,to protect innovative profits of start-up and small companies,and to prevent malignant patent competition.