Research On The Impact Of Government Subsidies On Technological Innovation Of Northeast Listed Companies

Technological innovation is one of the important drivers of high-quality economic development.Technological innovation is an important way and power for technology to work in the economy and society.The effect of innovation reflects the ability of technological innovation.The ability and effectiveness of technological innovation are influenced by many factors;among them,government policy support,direct and indirect investment by the government,and investment of the enterprise itself are the key factors.The study of the above-mentioned key factors has important theoretical and practical significance for the government to formulate enterprise innovation subsidy policies,arrange special subsidy funds,continuous supervision,and inspection of subsidy effects.In October 2003,the Central Committee of the Communist Party of China and the State Council issued"Several Opinions on Implementing the Strategy for Revitalizing Old Industrial Bases in Northeast China."The opinions clarified the guiding ideology,guidelines,tasks and policy measures for implementing the revitalization strategy.The policy measures include a large amount of financial subsidies to consolidate and enhance the functions and status of the Northeast as a commodity grain production base,an important forestry base,a machinery industry,an energy and raw material base,and a pharmaceutical industrial base.The revitalization of the Northeast strategy is one of the important practical activities of the government to subsidize enterprises.Since the release of the Northeast strategy in 2003,the government has continued to provide substantial subsidies to Northeastern enterprises,but there are still significant differences in technological innovation capabilities and technological development levels in the region compared with other regions of the country.As far as the three northeastern provinces are concerned,there are also obvious differences in the technological innovation capabilities of the three provinces.The same is to enjoy the support policy,why is there a significant difference?Has government subsidies played a role?Does government subsidies have a positive impact on technological innovation in Northeastern enterprises?What is the role of government subsidies?To what extent does government subsidies stimulate corporate R&D investment?Does government subsidy have the same effect on companies of different natures?Are there any geographical differences in the effects of government subsidies on innovation in Northeastern enterprises?These issues are urgently needed for research and investigation.Based on the data of listed companies in the Northeast,this paper uses panel analysis technology to empirically analyze the role of government subsidies in technological innovation in Northeast enterprises.The performance of government subsidies is further analyzed from the perspective of the nature of enterprise ownership(state-owned,non-state-owned)and the region of the enterprise(the province where the enterprise is registered).The research shows that:First,government subsidies and enterprise R&D investment have a significant positive correlation with technological innovation;second,government subsidies have a significant positive correlation with R&D investment;third,corporate R&D investment plays a partial intermediary role in government subsidies and technological innovation.Fourth,government subsidies for state-owned enterprises have a significant positive correlation with technological innovation.Fifth,government subsidies for non-state-owned enterprises have no significant impact on technological innovation.Based on the above research,this paper finds that government subsidies and R&D investment have different effects on the technological innovation of listed companies in the three northeastern provinces.Government subsidies:Heilongjiang provincial government subsidies have no significant impact on technological innovation.The subsidies of Liaoning Province and Jilin Province government are significantly related to technological innovation.The government subsidy efficiency of Jilin Province is higher than that of Liaoning Province.R&D expenses:R&D expenses in Heilongjiang Province and Jilin Province have no significant impact on technological innovation,and research and development expenses in Liaoning Province are significantly positively related to technological innovation.Based on the empirical research,this paper proposes corresponding policy recommendations.First,we should continue to improve the government subsidy mechanism,and formulate corresponding subsidy programs for the differences in the nature of enterprises,innovation efficiency and regional innovation.Second,the path of subsidy should be improved so that subsidies can better stimulate R&D investment.In addition,we should strengthen and improve the regulatory mechanism,improve the competitive incentive mechanism and provide corresponding supporting facilities to promote the development of technological innovation,and ultimately promote technological innovation and economic development in the Northeast.