Analysis on the Effect of Government R&D Investment to Business R&D Investment——An Empirical Analysis Based on Shanxi province

Based on the time-series data of Shanxi province from 2001 to 2010 and using distributed lag model,multiple linear regression model,the paper analysis empirically that government RD investment has delay effect,induced effect and the crowding-out effect to the business RD investment.The results show that:government RD investment has an inductive and delay effect to the business RD investment;Government RD investment of business R D inwestment have induced effect and the crowding-out effect,and extrusion effect is greater than the inductive effect;government funded corporate may induce business RD expenditure;the government funded research institutions and universities may crowd out business RD expenditure.According to the above conclusion,the paper puts forward some related suggestions to improve the government of Shanxi province RD investment.