Research of The Effects of Ownership on Enterprises Technological Innovation based on Econometric Model

摘要

This paper aims to use econometric model to study the impact of ownership on enterprises technological innovation. It provides a theoretical model to deal with the competition between public enterprises and private enterprises in technological innovation. The analyzing methodology falls in the field of mixed duopoly, which is typical in the transitional economy. Technological innovation productivity test-Frontier function is considered in this research. The results show that ownership factors are important determinants of enterprises innovation strategy and efficiency. Welfare-maximising public enterprises will recognize and value the positive externality of their innovation activities and choose the lowest level of intellectual protection - maximum spillover. As long as public enterprises are not purely profit-oriented, they will continue to achieve less innovation progress than their private competitors.