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

Science and technology innovation is the first driving force to lead development,and is an inevitable requirement for China’s economic transformation and development.The 19 th Party Congress established the goal that China should be among the forefront of innovative countries by 2035.In order to stimulate the innovation vitality of the whole society and help enterprises grasp the innovation opportunities in the big change,our government has continuously improved the government subsidy policy system and expanded the scale of government subsidy funds.The purpose of government subsidies for enterprises’ innovation activities is to correct the "market failure" arising from the overflow,non-exclusivity,non-exclusivity and high-risk nature of technological innovation activities,so as to promote the improvement of enterprises’ innovation capability and output of innovation results.However,the problem of inefficiency of enterprise innovation in China is still prominent,and there is no unanimous conclusion on the impact of subsidy policy on enterprise innovation in academia.In this context,this paper investigates the impact of government subsidies on enterprise innovation from the perspective of efficiency,as well as the impact of enterprise property rights and industry heterogeneity on the effect of government subsidy policies.This paper first compares the domestic and international research literature on the efficiency of corporate technological innovation and the impact of government subsidies on corporate innovation,and then reviews the theories of technological innovation,government intervention,signaling,resource base and government failure that support the research framework of this paper.Then,we analyze the mechanism of the impact of government subsidies on the efficiency of corporate technological innovation and propose research hypotheses.Then a stochastic frontier model is applied to measure the efficiency of enterprise technological innovation of listed enterprises in Shanghai and Shenzhen A-shares in China from2017 to 2020.Then a panel fixed-effects model is constructed to analyze the impact of government subsidies on the technological innovation efficiency of listed enterprises in China,and then a panel threshold model with government subsidy intensity as the threshold variable is constructed to estimate and test the threshold value and explore the threshold effect of the impact of subsidy funds on the technological innovation efficiency of enterprises.Moreover,the heterogeneity of property rights and industry heterogeneity tests were conducted to investigate the differences of this effect among enterprises with different property rights and industries.This study finds that the technological innovation efficiency of listed enterprises in China is generally low and there is a serious efficiency loss,and the investment in R&D personnel is relatively insufficient,and the impact of government subsidies on the technological innovation efficiency of enterprises has a threshold effect under the combined effect of incentive and inhibitory effects,and the most obvious promotion effect will occur when the intensity of government subsidies is within a certain range.For enterprises with different property rights,the threshold effect of government subsidies on the innovation efficiency of state-owned enterprises changes from a significant inhibitory effect to a non-significant one,while the threshold effect on the innovation efficiency of non-state-owned enterprises changes from a non-significant effect to a significant one.For enterprises in different industries,the threshold effect of government subsidies on the innovation efficiency of enterprises in high-tech industries changes from strong to weak,while its threshold effect on the innovation efficiency of enterprises in non-high-tech industries changes from significant to insignificant.The innovation of this paper is that,unlike previous studies that mostly use industry-level data to study the linear relationship between government subsidies and enterprise innovation from the perspective of innovation inputs and outputs,this paper studies the threshold effect of government subsidies on enterprise innovation efficiency from the perspective of efficiency,which can further enrich the research content in the field of government subsidies and enterprise innovation and explain the debates of existing studies in this field to a certain extent.