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AN EMPIRICAL TEST ON CHINESE HIGHTECH INDUSTRY
PRODUCTIVITY INFLUENCING FACTORS
LUO Lai-Jun-1,LI Jun-Lin-1,YAO Dong-Min-2
Economic Theory and Business Management
2015, 35 (5):
5-16.
This paper uses enterprise data to empirically test the influencing factors of Chinese hightech industry productivity, and concludes that the growth of assets, human capital, corporate profits, and enterprise scale have significant effect on productivity. Government subsidies, capital labor ratio,and inventory play negative roles.Foreign direct investment, trade credit, sales cost, market concentration, and industrial chain status have little effect. Different from the normal expectation of people, R&D investment on productivity may not work or play a negative role.This paradoxical conclusion reflects the special circumstances in China.The motive of many enterprises R&D investment is to rent for an access to government subsidies and monopoly interests.Lack of protection for intellectual property rights makes many enterprises unwilling to put a lot of money in the use of technology research and development. Bank loans and government subsidies seriously distort and impede productivity. This paper suggests that the problems arise in Chinese financing system and government funded system, which not only fails to promote enterprise efficiency, but also inhibits the development of enterprise efficiency.
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