Research On The Impact Of Goverment Subsidies On Technological Innovation In China’s Photovoltaic Industry

In the context of more and more attention to innovation in the country,enterprises,as the micro-subject of innovation,their technological innovation ability is particularly important.However,due to the uncertainty and externality of the technological invention projects,it will cause that insufficient investment in enterprise innovation and cause market failure,thus making technological innovation activities unable to reach the Pareto optimal state.Governments of various countries generally take various interventions to address market failures,and guide enterprises to increase investment in innovation by providing policy support.Photovoltaic industry is a strategic emerging industry in my country.At the beginning of development,the government provided a series of preferential policies to support its development.However,due to unstable policies and lack of supervision,problems such as insufficient technological innovation capability and overcapacity have appeared,which makes the photovoltaic industry considered by many scholars and policy researchers that the preferential policies provided by the government inhibit its development.Now,the evolution of the solar power generation industry and the policy environment are increasingly stable.Therefore,studying the impact of subsidies provided by governments at all levels to the photovoltaic industry on its technological innovation is of certain reference meaning for the government to make policies,implement precise policies and clarify the future development direction of the photovoltaic industry.This paper firstly sorts out the domestic and foreign literature on the relationship between government subsidies and enterprise technological innovation,so as to clarify the research direction.Secondly,the development history of China’s photovoltaic industry and the status quo of technological innovation in each production link of the industrial chain are analyzed,and it is found that there are differences in the technical level,technical requirements and change speed of different production links.Thirdly,it theoretically analyzes the impact mechanism of government subsidy to innovation outcomes of the photovoltaic industry,and the mediating and regulating effects of R＆D investment and ownership differences in this impact path.The impact of government subsidies on the efficiency of technological innovation in the photovoltaic industry and the heterogeneity of their roles in different production links within the industry chain are analyzed.Finally,establish a model for empirical analysis,and suggest countermeasures on the basis of research findings.The study found that government subsidies positively affect the innovation output of the photovoltaic industry,and R＆D investment plays a complete mediating role in this impact path.Ownership differences play the role of reverse regulation in the first half of the mediation pathway,and play a positive regulatory role in the second half of the mediation pathway.That is,state-owned enterprise R＆D investment has a greater positive impact on innovation outcomes,while non-state-owned enterprise government subsidies have a greater impact on R＆D investment.Government subsidies negatively affect the innovation efficiency of the photovoltaic industry.To increase innovation output only by significantly increasing R＆D investment is not only inefficient,but may also lead to waste of resources.The influence of government subsidies on technological innovation of enterprises is heterogeneous in different parts of the industrial chain.Specifically,it promotes technological innovation of upstream enterprises and inhibits technological innovation of mid-and downstream enterprises.