Fiscal Subsidies, Tax Incentives And Innovative Performance Of Strategic Emerging Industries

The global economy was impact hard by the 2008 global financial crisis,Governments are pondering the drawbacks and constraints of the existing economic model,urgent need industry innovation to break the economic development constraints of traditional mode,through technical innovation to add fresh blood and oxygen to the industry economy,and construct a new economic growth point.Therefore,the development of strategic emerging industry become a national consensus,and a major decision to promote the transformation and upgrading of industrial structure and to seize the commanding heights of the new round of economic development.It is also an inevitable choice for building an innovative country and improving the overall national strength.In October 2010,the state council formally established the policy objectives of China's strategic emerging industries.The 13 th five-year plan of the national economy also proposed the establishment of a modern industrial system,which will further promote the development of strategic emerging industries and increase their added value to 15 percent of GDP.By 2030,China will become an important manufacturing center and innovation center for the strategic emerging industries of the world and form a group of innovative leading enterprises with global influence and dominance.Under this background,the state and local governments at all levels have introduced the industrial policy,through fiscal subsidies and tax incentives and a series of macro-control measures to support and cultivate strategic emerging industry development.However,the emerging industries in the incubation period have not developed smoothly,because of the complexity of the technology innovation,the long construction period of the project and the large investment risk.And the technical progress and industrial achievements transformation of the emerging industries to the traditional industry have not achieved the a crucial breakthrough.Therefore,how to make use of fiscal subsidies and tax incentives that two kinds of macroeconomic methods to support and cultivate strategic emerging industry development,complete industrial structure adjustment and development mode transformation,achieving a beautiful soft landing,it is of great strategic significance to realize the "steady growth and structural adjustment" of the Chinese government under the new normal state.Based on the above background,and from the dynamic perspective of life cycle,this paper studies the role and influence of fiscal subsidies and tax incentives on the innovation performance of strategic emerging industries.First,the system combing literature research both at home and abroad,from the technological innovation and economic growth,market failure and government role and infant industry protection theory to describe the logic of the government support for strategic emerging industry innovation,comparing two policy tools for strategic emerging industries heterogeneity of mechanism innovation performance.Secondly,using the micro data of listed companies 440 strategic emerging industry,through the DEA-Malmquist index calculation method to measure the overall performance of strategic emerging industries.According to the comprehensive index of industrial economics scoring method to divide the life cycle,measuring the strategic emerging industries innovation performance of Growth,Maturity and Recession.Thirdly,through the panel data model,this paper analyzes the overall effect and structure effect of fiscal subsidies and tax incentives on the innovation performance of strategic emerging industries.Finally,the paper summarizes the theoretical analysis and empirical research.The conclusion of this paper is that the financial subsidy is helpful to promote the innovation performance of the strategic emerging industry,but the positive effect is not significant,and the tax benefit does not play the positive effect of improving the innovation performance of the strategic industry;After the ownership system is considered,the incentive effect of the financial subsidy to the state-owned enterprises is more obvious,and the tax incentives are not different.From the dynamic point of view of the life cycle,the financial subsidy and the tax preference are strategic to the growth,maturity and recession The effect of industrial innovation performance is different.Finally,through the theoretical analysis and empirical research,the conclusion of this article are: the fiscal subsidy is beneficial to promote the strategic emerging industry innovation performance,but the positive effect is not significant,tax incentives is not conducive to stimulate strategic emerging industry innovation performance;After considering ownership,the incentive effect of fiscal subsidy on state-owned enterprises is more significant,while the tax benefits are not different.From the dynamic perspective of life cycle,the effects of fiscal subsidies and tax incentives on the innovation performance of strategic emerging industries in the Growth,Mature period and Recession are different.Therefore,governments should be based on the characteristics of the life cycle of the industry,and strive to build all-round,multi-angle,wide areas of fiscal and tax incentives,and promote our strategic emerging industries innovation performance steadily,To promote the strategic development of new industries,promote the optimization and upgrading of industrial structure to provide a positive policy support.