This research, which investigates a set of fundamental relationships in the R&D literature, is based on an unusually rich set of panel data covering the population of China's large and medium-size manufacturing enterprises. Using a recursive three-equation system, we investigate the determinants of firm-level R&D intensity, the process of knowledge production, and the impact of innovation on firm performance. Several results stand out. Overall, the statistical relationships within the model are surprisingly robust, including the contributions of R&D expenditure to new product (NP) innovation, productivity, and profitability. The roles of firm size, market concentration, and profitability in driving R&D effort parallel to those found in the US literature. We find that new product (NP) innovation accounts for approximately 12% of the total returns to R&D. Also, returns to industrial R&D in China appear to be at least three to four times the returns to fixed production assets.Innovation, R&D, Chinese industry, Productivity,
The capacity of developing economies to narrow the gap in living standards with the OECD nations depends critically on their ability to imitate and innovate new technologies. Toward this end, developing economies have access to three avenues of technological advance: technology transfer, domestic R&D, and foreign direct investment. This paper examines the contributions of each of these avenues, as well as their interactions, to productivity and knowledge production within Chinese industry. Based on a large data set for China's large and medium-size enterprises, the estimation results show that technology transfer-whether domestic or foreign-affects productivity only through its interactions with in-house R&D. Foreign direct investment does not appear to facilitate the adoption of market-mediated foreign technology transfer. Firms wishing to produce patentable knowledge do not benefit from technology transfer; patentable knowledge is created exclusively through in-house R&D operations.
China's 22,000 large and medium-size enterprises stand at the pinnacle of Chinese industry. While they account for less than a fraction of a percent of China's nearly 8 million industrial enterprises, they collectively account for one-third of the nation's total industrial output. Using a panel of these enterprise data for 1994-1999, we find a rapidly diversifying ownership structure in which the role of the state is steadily retreating. At the same time, we find considerable variation in measures of performance across ownership types and see emerging within Chinese industry evidence of high-intensity R&D performers that exhibit substantial innovation capabilities.JEL classification: L60, O32, P311 We wish to thank
After the Qing conquest of 1644, and the garrisoning of the Manchus in Beijing, bannermen gradually became familiar with the capital's network of temples and their Buddhist and Daoist pantheons. They used Manchu, their mother tongue, to compose stele inscriptions. The "Stele of The Palace of Great Peace" (Taipinggong bei 太平宮碑), composed for the Beijing Daoist temple Pantaogong 蟠桃宮 (Peach Blossom Palace) by the Manchu bannerman Udari in 1662 (Kangxi 1), offers unique insight into the Daoist beliefs of bannermen less than twenty years after the conquest. This article transcribes and translates the Manchu and Chinese texts of this stele, investigates the status and identity of its author Udari, and reflects on the process by which, in the early Qing period, bannermen moved from unfamiliarity with Daoism to belief in it.
scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.