Monetary Policy?Financial Development And Corporate R&D Investment

At present,China's economy is undergoing a transition to the new normal.An important feature of the new normal is to promote technological innovation and eliminate outdated technologies and products.For enterprises,technological innovation is mainly reflected in the R&D activities of enterprises.Effective R&D activities not only promote the vigorous development of enterprises,but also determine the core competitiveness of enterprises.In recent years,Chinese enterprises also have realized the importance of R&D investment and vigorously promote it.However,compared with the developed countries in Europe and the United States,the R&D investment of Chinese enterprises is still at a relatively low level.And there is still much room for further development.Due to the long development cycle of R&D investment and the huge amount of investment,the primary reason for impeding its rapid and healthy development is often the lack of corporate funds and financing difficulties.Among many factors that have led to this situation,monetary policy and financial development have undoubtedly played an important role.The macro-monetary policy will inevitably be reflected in the investment behavior of micro-enterprises.Under the influence of the differences in resource and the level of economic development,there is a significant difference in the level of regional financial development in China.Therefore,it is necessary to analyze R&D investment of Chinese enterprises from the impact of macro-monetary policies and financial development.Based on the analysis of related theories,this paper studies the domestic and foreign scholars' literature on monetary policy,financial development and R&D investment.After analyzing its existing achievements and shortcomings,this paper presents two main assumptions: monetary policy is significantly and positivelycorrelated with corporate R&D investment,and regional financial development can weaken the influence of monetary policy on R&D investment.Through the unbalanced panel data of listed companies in Shanghai and Shenzhen from 2009 to 2016,the data were sorted and analyzed by using EXCEL and STATA statistical software.The hypothesis was verified by descriptive statistics,Pearson correlation analysis and multiple regression analysis.The results show that there is a significant positive correlation between monetary policy and R&D investment.Moreover,the impact of monetary policy on the R&D investment of different size enterprises is different,which has a greater impact on small and medium enterprises and a relatively smaller impact on large enterprises.Further research finds that financial development can ease the impact of monetary policy on R&D investment.In regions with high levels of financial development,monetary policy has a less impact on R&D investment.At the same time,in regions with low level of financial development,This influence is relatively large.And this mitigation effect is even more pronounced in small and medium enterprises.Finally,according to the result of the research,some countermeasures and suggestions are put forward on how to promote the R&D and technological innovation in our country.This article provides more extensive empirical evidence for studying the micro-enterprise effects of monetary policy.From the enterprises' level,we test the effect of monetary policy on R&D investment.Further explore from the perspective of regional financial development,expanding the perspective of R&D investment research.