Multilevel innovation policy mix in China: do local programmes complement national programmes?

Author:

Shi Xing1ORCID,Guo Yating1,Dong Huiping2,Wang Shuai1

Affiliation:

1. School of Economics, Hefei University of Technology , 193 Tunxi Road, Baohe District, Hefei 230000, China

2. Management School, University of Science and Technology of China , 96 Jinzhai Road, Hefei 230000, China

Abstract

Abstract Chinese governments at all levels have been using various policies to encourage innovation by firms. However, few studies considered the superimposed effects of multilevel innovation policies. Based on the panel data of 443 Chinese innovation–oriented firms from 2008 to 2011, this study investigates the complementarities between national and local science and technology programmes. The heterogeneous effects across stages of the innovation process are also considered. Results show that the national science and technology (S&T) programmes significantly increase firms’ external research and development (R&D) expenditure but inhibit the commercialisation. In addition, the national and local S&T programmes complement each other in promoting external R&D expenditure while presenting substitutive in increasing patent outputs. This paper further finds that national and local programmes are more likely to be complementary at high subsidy intensity. This study contributes to the development of policy mix theory and has manifold implications for designing pertinent innovation policy systems

Funder

National Natural Science Foundation of China

National Social Science Fund of China

Publisher

Oxford University Press (OUP)

Subject

Management, Monitoring, Policy and Law,Public Administration,Geography, Planning and Development

Reference79 articles.

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