The Rmb Exchange Rate Devaluation And Innovation Of Export Enterprises

Under the downward pressure of China's economy,innovation as an important part of China's supply-side reform,is crucial for transforming the mode of economic development from "factor-driven" to "innovation-driven".Moreover,the RMB exchange rate which is an important price factor in China's macroeconomic activities,plays an irreplaceable role in economic transformation,and has an important impact on the operational focus and investment structure of micro-enterprises.Based on this,this paper takes Chinese A-share listed companies from 2011 to 2016 as a sample to examine the impact of the RMB exchange Rate devaluation on export enterprise innovation from the perspective of investment motivation.This study found that the RMB exchange Rate devaluation obviously inhibited the innovation of export enterprises.First of all,using the quasi-natural experiment of the RMB devaluation after the "811 exchange reform" in 2015,I constructed a Difference in Difference model and used DID and PSM to test the impact of exchange Rate reform on enterprise innovation.And I found that the investment in enterprise innovation significantly reduced in export enterprises group after the exchange Rate reform.Second,in the sample of export enterprises,I found that the RMB exchange Rate devaluation has significantly inhibited the innovation of export enterprises through the OLS method.Further study on the export enterprises group,I found that this conclusion is only significant in the sub-sample of private enterprises,small scale enterprises and enterprises with high industry competition degree.Because such enterprises have a stronger incentive to pursue profit and rapid development under the circumstance that the RMB exchange Rate devaluation is conducive to exports,such companies are more likely to increase production investment to expand exports,and ultimately ignore the investment in enterprise innovation.This shows that under the circumstance that the RMB devaluation has caused export enterprises to face short-term profit opportunities,the weakening of investment incentives on innovation by export enterprises is the mechanism by which the RMB devaluation depresses enterprise innovation.Finally,in the robustness test,I considered the lagging effect of RMB depreciation,and replaced the innovation index of enterprises,and the results are still consistent with the main regression results.This study helps to understand how the RMB devaluation and "811 Exchange Reform" affects the investment motivation and innovation investment of export enterprises from the micro level,and evaluate the role of the RMB devaluation in the recent economic structural transformation in China.