Impact of Government R&D Subsidies on Innovation Efficiency of China’s High-tech Industries

Innovation efficiency is a key factor influencing the position of high-tech industries in the global value chain. Through stochastic frontier analysis, innovation efficiency of China's high-tech industry from 2000 to 2016 was estimated and analyzed. Through five random frontier analysis models, innovation efficiency of new product sales revenue and number of patent applications are analyzed. Results show that the overall level of innovation efficiency in China's high-tech industry is not high. Government subsidies for innovation have a positive impact on the R&D results of new product income from China’s high-tech industry, but have a negative impact on the number of patent applications. Scale of enterprise, degree of openness of enterprise, quality of the labor force and export delivery have a positive impact on innovation efficiency of China's high-tech industry. R&D capital stock and R&D human capital stock have a positive effect on high-tech industry innovation. In high-tech industry's transition from patents to new products, there will be a low conversion rate. Results of economic analysis can help the government to make the basis for management decisions. Conclusion of innovation performance analysis provides practical normative guidance for these high-tech industries