Goverment Subsidy,Rent-seeking And Enterprise Innovation Investment

At present,China is in an important period of transition,from "made in China" to " created in China" will be a long process,so the government pays more and more attention to the innovation of enterprises.The development of economy can not be separated from the impetus of innovation.The key of economic growth lies in the rational and effective use of the funds invested to promote the progress of technological innovation.As we all know,one of the indispensable factors of enterprise innovation is the support of capital,and government subsidy is one of the important sources of capital.Subsidies from central and local governments have been increasing in recent years.From the government's point of view,there are many reasons why the government grants subsidies to businesses.One important purpose is to encourage enterprises to increase innovation investment,constantly improve their own innovation,and improve the industry and even the country's R&D innovation ability.However,whether the government subsidy has encouraged enterprises to increase investment in innovation as expected by the government has not yet reached a consistent conclusion.In this important period of transition,the formal system and laws and regulations are still need to be improved,so in the process of allocation of government subsidies,the government and enterprises compete to establish political connections,and rent-seeking activities begin to prevail in enterprises.However,the hidden trouble of rent-seeking activities is objective,it not only makes the allocation of government subsidies chaotic and inefficient,it's also a waste of public resources,and also unfavorable to the long-term development of enterprises.In China,which values the human relationship,whether the widespread rent-seeking behavior will affect the acquisition of government subsidies,rent-seeking methods to obtain government subsidies and normal ways to obtain government subsidies and whether have differences in the impact of innovation investment on enterprises,these issues will be explored in this paper.In view of the above problems,this paper firstly takes all the A-share listed companies in 2015-2017 as the research sample,uses the empirical method to put forward the research hypothesis and carries on the test,and draws the following conclusions:First,the government subsidy has played the role of incentive to the enterprise innovation investment;Second,rent-seeking can help enterprises get more government subsidies;Third,rent-seeking weakens the positive correlation between government subsidies and innovation investment.It can be seen that in China's listed companies,the rent-seeking behavior of enterprises can really help them to obtain more government subsidies,but the government subsidies obtained on the basis of rent-seeking methods have not played their due role,and they have played an important role in the innovation behavior of enterprises.More of this is the extrusion effect.In addition,this paper takes Dongguan Kingsun Optoelectronic Co.,Ltd as the case to analyze the influence of government subsidy on the innovation input of Kingsun.The case selects the relevant data of Kingsun in 2011-2017 and correlates the government subsidy with its innovation investment.It is found that the change trend of government subsidy and innovation investment is basically the same during this period.Further verify the positive effect of government subsidy on innovation investment.At the same time,the paper also studies the rent-seeking behavior of Kingsun,and analyzes whether it affects the government subsidy and innovation investment,and what kind of influence it has.It is found that the rent-seeking behavior affects the acquisition of government subsidy objectively,and has the extrusion effect on innovation investment.The results are consistent with the empirical test results.Finally,according to the conclusion of the study,some reasonable suggestions are put forward to better realize the policy objectives of government departments and to improve the efficiency of government departments in the use of funds.