Influential Factors of RD Expenditure and the Path of Government Support: An Empirical Evidence from Listed Companies in Chongqing

摘要

This paper empirically analyzes the effects of micro-factors on company R&D expenditure by using data from listed companies in Chongqing. The results show that company R&D expenditure is negatively correlated with its capital size, companies located in urban areas spend less on R&D activities than those located in peripheral areas, R&D expenditure of companies which belong to the new and high-tech industries is more than those which belong to the traditional industries, companies that managers owner equity tend to spend more on R&D activities than those managers don't hold stocks, and the higher the proportion of managerial shareholdings, the more the R&D expenditure is. In addition, companies whose chairman of the directors is older than 50 tend to invest in technical transformation, and companies controlled by the younger chairman of the directors tend to invest in the research and development of new technology, the difference in R&D activities between the two industries categories of companies indicates the 'myopia' of decision made by the chairman of the directors who approaches to retirement And the composition of board of directors has no significant effects on the company R&D expenditure. Therefore, the local government could lay down the proper policies to support and encourage local companies to invest more in R&D activities to raise their innovation.