Analysis On The Impact Of Urbanization On Technological Innovation

Since Schumpeter proposed that technological innovation is the source and the decisive factor of economic growth in his "Life Cycle Theory",Innovation has become the most important part in economic research,and it is also the top priority of all countries' economic policies.At the Fifth Plenary Session of the Sixteenth Central Committee,it was first proposed to make China an innovative country as a great strategic thought by our party.Since then,the innovation-driven development strategy has been at the core of national development.At present,China's economy has entered a new normal,economic growth is slowing,and industrial restructuring is difficult.Only by creating new growth points through Innovation and strengthening the country's overall competitiveness can we help China's economy out of its predicament.Urbanization generally refers to the transfer of rural population to urban areas and the spatial agglomeration of production factors.The urbanization process can not only promote rapid economic growth,but also promote technological innovation bymeans as enhancing knowledge spillovers.The labor market matching model points out that the urbanization process can increase the matching degree and production efficiency between teams through population aggregation,accelerate the speed of knowledge dissemination,and improve the ability of technological innovation.Firstly,through the literature review and theoretical analysis,this paper makes a theoretical derivation of the mechanism of urbanization promoting technological innovation.On this basis,panel regression analysis is performed by selecting appropriate control variables.This paper uses prefecture city level economic data from 2003 to 2013 to study the impact of urbanization on technological innovation with panel regression model.Based on the fixed effect model,the regional differences in the technological innovation effects of urbanization were analyzed.At the same time,this paper also considers the possible threshold effect of the city's innovation effect on the urban scale and economic development level,and uses the panel threshold regression model to empirically study the threshold effect.The empirical results show that urbanization has a significant positive impact on technological innovation,with 1%increase in employment density,patent output rose by 0.14%,and innovation index rose by 0.20%.There are significant regional differences between different regions.The employment density index only has a significant impact on the patent output and innovation index in the western region.After introducing a threshold variable into the regression model,it can be seen that the increase in the size of the city will increase the patent output effect of employment density,while the increase in the level of economic development will weaken the patent output effect of employment density.