Research On The Impact Of Government Subsidies On Innovation Quality From The Perspective Of Enterprise Scale

In the past 40 years of reform and opening up,China has made great progress in its scientific and technological capabilities while its economy continues to grow at a high level.According to the World Property Organization's data for 2018,China's innovation index has emerged as the 17th place in the world,and the number of patents in China has increased "explosively".At the same time,there are doubts about China's innovative achievements:the surge in the number of patent applications in China is not the result of the doubling of innovative inspiration of Chinese researchers,but the result of the government's innovative development strategy and subsidy policy.In 2014,the State Property Office pointed out that the proportion of high-quality patents is not high.According to the State Property Office,53.7%of Chinese enterprises received government subsidies in 2016.In addition,in the actual implementation of the subsidy policy,the government will also make a decision on how much the subsidy will be given to enterprises and how large the enterprises are.Therefore,it is of theoretical and practical significance to explore the impact of government subsidy policy on the quality of innovation and how to maximize the incentive effect of government subsidy.Firstly,this paper makes an analysis and summary of the previous studies,and introduces the definition of the core concepts of this study.At the same time,the relevant research on government subsidy,enterprise scale and innovation quality has been sorted out.The mechanism of government subsidy and enterprise scale affecting innovation quality,and the regulatory role of enterprise scale on government subsidy are also analyzed.Using the provincial panel data from 2009 to 2016,this paper uses static panel model,and panel threshold model to empirically test the relationship between government subsidies,enterprise scale and innovation quality.The main conclusions are as follows:Firstly,government subsidy as a whole has a significant inhibitory effect on the improvement of enterprise innovation quality.According to the index of government subsidy,the higher the proportion of government innovation subsidy in R&D input,the less conducive to the improvement of innovation quality.Secondly,on the whole,the scale of enterprises has a significant inhibitory effect on the improvement of innovation quality.In this paper,we adopt two kinds of scale indicators,i.e.the scale of personnel and assets,and draw the same conclusion.Then enterprise scale has a significant positive regulatory effect on government subsidies.Whether it is the scale of personnel or assets,it has a significant positive regulatory effect on government subsidies.In view of the significant positive regulatory effect of enterprise scale on government subsidy,this paper further explores the non-linear impact of government subsidy on innovation quality from three perspectives of subsidy self,personnel and asset scale by using threshold model.First of all governnent subsidies have a significant double self-threshold effect.There is a moderate range of government subsidy,namely[0.056,0.062],in which government subsidy can promote the quality of innovation.In the next place government subsidy has a significant double threshold effect on personnel scale.There is a moderate range of personnel size,namely[126121,413329].In the moderate range,the scale of personnel has a positive regulatory effect on government subsidy,which makes government subsidy have a significant promotion effect on the quality of innovation.However,the promotion effect is relatively weak.Finally government subsidies have a significant single threshold effect on asset scale.In the sample located in the larger asset scale range,the inhibitory effect of government subsidies on innovation quality will be greatly reduced to a smaller one.The scale of assets has a positive regulatory effect on government subsidy,which can alleviate the restraining effect of government subsidy to a certain extent.The innovations of this study are as follows:The relationship model of government subsidy,enterprise scale and innovation quality is constructed to research the effect of government subsidy on the improvement of innovation quality,and the regulatory effect of enterprise scale on governnent subsidy.In addition,this paper further studies the non-linear relationship between government subsidy and innovation quality,using threshold model to explore the different effects of government subsidy on innovation quality from the perspective of subsidy threshold,personnel and asset scale threshold.