The Analysis Of Total Factor Productivity Of Innovation-driven Development In China

Innovation-driven development is an important strategic guideline for China to achieve its goal of making China an innovative country.In response to challenges in both domestic and international,it is an inevitable choice for China to better develop the economy,shape new competitive advantages,and enhance its international influence.In 2006,China proposed the strategic task that is making China an innovation country.The report to the 18 th National Congress of the Communist Party of China(CPC)clearly stated that it is necessary to implement the strategy of innovation-driven development.General secretary Xi Jinping pointed out that innovation which is the primary driving force for development provides strategic support for the construction of a modern economy system during the 19 th CPC National Congress.It can be seen that innovation-driven development is the active strategic adjustment of China in the new normal economy as well as an important factor affecting the transformation of China's social and economic development models.It has become an important research topic in China that how to rationally allocate and utilize innovation-driven development factors to enhance innovation efficiency and ability.Based on the relevant input and output data of innovation-driven development in 26 major provinces and cities in China from 2000 to 2015,this paper measures the Total Factor Productivity(TFP)of China's innovation-driven development during the period of research by using the DEA-Malmquist index method.The paper uses the Tobit model to study the factors that influence total factor productivity of innovation-driven development.Firstly,this paper defines the concept of innovation-driven development,and analyzes its characteristics,status quo and existing problems.Secondly,it uses the DEA-Malmquist index method to measure the Total Factor Productivity of China's innovation-driven development.With total factor productivity as the explained variable,TFP value and its decomposition items — technical progress and technical efficiency — are analyzed from the perspectives of time and regional development.And this study adopts the Tobit model to empirically test the affecting factors for TFP of innovation-driven development while TFP used as an explanatory variable.Finally,based on theoretical and empirical research the paper offered some suggestions for promoting innovation-driven development and making China an innovative country in three contexts: opening up and integrating with the world;improving industrial structure;enhancing the level of tertiary education.The research results show that from the perspective of vertical development,China's innovation-driven development of total factor productivity has seen two short-term sustained growth from 2000 to 2015,but the overall innovation-driven development capacity has not shown a significant upward trend.The index of technological progress is relatively low,and the technological efficiency is basically showing a growth trend.This shows that China's innovation technology has not made significant progress,but the utilization rate of innovation resources has increased.From a horizontal comparison,there are 5 provinces in China that have seen significant growth.During the period under review,the provinces and cities witnessed a relatively higher index of changes in technological efficiency.The technical efficiency of 65.4% of the provinces is rising or remains unchanged,and the overall index of technological progress is generally not high.From the perspective of contribution to total factor productivity,before 2010,technological progress made greater contribution to TFP,while the trend of changes in late TFP and technical efficiency index EC are more consistent.Technical efficiency mainly depends on pure technical efficiency and is less affected by scale efficiency.The increasing efficiency of resource allocation by enterprises,governments,and markets has become a major source of innovation-driven development efficiency.From the perspective of influencing factors,the degree of opening to the outside world,the level of economic development,the degree of optimization of industrial structure,and the level of education can promote innovation to drive the improvement of development efficiency.Among them,the influence of the first three factors is more significant,and the degree of opening to the outside world is most conducive to innovation-driven development efficiency,while foreign direct investment and urbanization have no effect.