Research On The Impact Of Government Subsidies And Tax Incentives On Innovation Investment Of Digital Enterprises

Facing downtown pressure on the economy and COVID-19,countries have chosen digital economy as an important engine of economic growth.Innovation is a powerful driving force for the sustainable development of economy.The fundamental of the development of digital economy lies in the innovation of digital enterprises.At present,the research on digital economy mainly focuses on the measurement of the development level of digital economy,digital economy and high-quality urban development.There is little discussion on the innovation of digital enterprises,which is of great significance to the research on the innovation of digital enterprises.Due to the externality and high risk of innovation activities,the state has formulated corresponding government subsidies and preferential tax policies to encourage digital enterprise innovation.But how to give better play to the role of government subsidies and tax incentives in digital enterprise innovation?Will the role of government subsidies and tax incentives on digital enterprise innovation be affected by the nature of enterprise property rights,enterprise scale,financing constraints and other factors?Through what mechanism do government subsidies and tax incentives affect digital enterprise innovation?In order to explore these problems,this paper explores the impact of government subsidies and tax incentives on digital enterprise innovation from the perspective of innovation investment.Firstly,this paper defines the concepts of government subsidy,tax preference and innovation investment,introduces the externality theory,financing constraint theory,signal transmission theory and government intervention theory,and analyzes the current situation of government subsidy,tax preference and innovation investment of digital enterprises;Secondly,based on the theory,this paper puts forward the hypothesis,takes China’s listed digital enterprises from 2010 to 2020 as the research object,constructs a two-way fixed effect model,analyzes the impact of government subsidies and tax incentives on the innovation investment of digital enterprises,tests the heterogeneity based on the nature of property rights,enterprise scale and the degree of financing constraints,and tests the mechanism of the intermediary effect of financing constraints;Finally,according to the theoretical analysis and empirical results,this paper puts forward policy suggestions.The conclusions of this paper are as follows:(1)government subsidies and tax incentives have a significant incentive effect on the innovation investment of digital enterprises,and the role of government subsidies in stimulating the innovation investment of digital enterprises is stronger than that of tax incentives.In addition,the effect of the two policies is better when they are implemented alone than when they are implemented at the same time.(2)The incentive effects of government subsidies and tax incentives on innovation investment in digital enterprises with different property rights,different scales and different financing constraints are heterogeneous.(3)Financing constraints have an intermediary effect in the incentive effect of government subsidies and tax incentives on innovation investment of digital enterprises.According to the research conclusions,the policy suggestions are as follows:(1)the coordination of government subsidies and preferential tax policies.(2)Formulate differentiation policies based on the nature of property rights,enterprise scale and financing constraints.(3)Improve the information disclosure system and reduce the risk of information asymmetry.(4)Strengthen the supervision of innovation activities and improve the policy effect evaluation mechanism.