The Impact Of Systematic Risk On Technological Innovation

"Innovation is the soul of a nation's progress,the inexhaustible driving force for a country's prosperity,and the deepest national endowment of the Chinese nation.In the fierce international competition;,only the innovator progress,only the innovator is strong,only the innovator wins".Technology innovation is the source of social productivity development:natural ties with business organization can make it through the technological progress and innovation of application-"the double helix structure" to accelerate the commercialization process,and the natural combination of target products can be directly applied to the public,the above two characteristics determine the technology innovation of the economic and social aspects have enormous influence.The benefits of technological innovation cannot be completely monopolized by innovators.Each generation of technological innovation will benefit from the previous generation,and the research and development cost of each generation will be significantly reduced compared with the previous generation.This huge "positive externality" provides an endless source of power to promote the continuous economic growth.However,technological innovation usually presents only the "result" part,and the hardships contained in its "process" part are not paid attention to by people.Only in this part can the essence of technological innovation be reflected.Accompanied by high returns,technological innovation is often accompanied by huge risks.The dependence of technological innovation on "environment" is very strong,and the different risks that affect the technological innovation of enterprises are interlinked and difficult to be separated.One risk can be the cause of the next risk or the result of the previous risk,showing a high degree of systematisms.To put it simply,the risks that affect the technological innovation of enterprises are global and associated,which is a kind of systematic risk.Second,risks can quickly spread across the system because of the cross-linkages between individuals.Limited by the research perspective,the previous literature on the relationship between a single link,a single type of risk and technological innovation has a dilemma of "missing the forest for the trees",and the corresponding research conclusions are also "biased".How to comprehensively,objectively,effectively and accurately measure the systematic risks faced by enterprises and investigate the relationship between them and technological innovation is an important problem that needs to be solved urgently.Based on the above,this paper draws on the research logic of Cosemans et al.(2016)'s dynamic mixed beta measure,rejects the concept of common risk factor and makes a secondary stratification of market risk beta,attributing it to three types of systematic risks:macro-economic risk,micro-enterprise risk,and macro-micro "cross-contagion risk".Therefore,this article in view of the relationship between risk and technology innovation research not only captures the technology innovation risk "systematic" this important feature,and to clarify the impact of systematic risk of technological innovation from different sources,especially the cross infection as one of the important properties of systematic risk by the asset pricing model to measure more accurately reflect the "externalities" of systematic risk,the previous pricing model is unable to do it.In addition,only from the "quantity" and "quality" two dimensions of technological innovation considerations can more objectively and comprehensively reflect the true level of technology innovation,foreign scholars generally adopt patent citations as proxy variable of "quality" of technological innovation,but the state intellectual property office of China enterprise patent database failed to provide the relevant information.Drawing on the research ideas of Akcigit et al.(2016),Aghion et al.(2018),Zhang Jie and Zheng Wenping(2018),this paper USES the enterprise patent data of the state intellectual property office of China to measure the quality of technological innovation based on the knowledge width of patents according to the international patent classification number(IPC).Paper based on the enterprise(stock)of systematic risk perspective empirical research on the three different types of systematic risk(macroeconomic risks,micro enterprise risk,the risk of cross infection)influence on technology innovation,and the corresponding pathways and mechanism,it is not only to understand exactly how systematic risk affects technological innovation provides the empirical evidence and provides the theoretical reference for the corresponding risk management.On the topic of how systematic risk affects technological innovation,the main results of this paper are as follows:First,the persistence of three types of systematic risk is very different.The macro-economic risks carried by enterprises(stocks)are sustainable to a certain extent and will not fluctuate with the fluctuation of macro-economy but have a significant correlation with the characteristics of enterprises themselves.The micro enterprise risks carried by enterprises(shares)are obviously persistent.On the one hand,they come from the significant differences in risk factors such as scale,value,operation status and financial status of different enterprises;on the other hand,they also come from the stability of risk bearing level of corresponding factors.The cross-infection risk carried by enterprises(stocks)is not sustainable,which may be caused by the dual effects of monetary policy,fiscal policy,economic cycle and enterprise scale,enterprise value,operation status and financial status,etc.,which make it difficult for the cross-infection risk carried by enterprises to present a stable regularity.Second,the higher the macroeconomic risks carried by enterprises(stocks),the lower the level of technological innovation.(a)the higher the content of tangible information,the weaker the negative relationship between macroeconomic risk and technological innovation level.Stock tangible information as a fundamental mapping by constantly release enterprise management strategy,financial position,profitability,market share,management system and talent information can make the outside world more understand the real situation of enterprise operation,create a tense atmosphere,ease macroeconomic risks weakening macroeconomic risk and a negative relationship of technology innovation.(b)the higher the enterprise transparency,the weaker the negative relationship between macroeconomic risk and technological innovation level.Even if enterprises with sound operation and good financial status do not send relevant signals to the outside world,they can mitigate the adverse impact of macroeconomic risks on technological innovation only by their effective response.(c)if the stock of an enter:prise is the subject of margin financing and short selling,the negative relationship between macroeconomic risk and technological innovation level will weaken.Margin trading introduced especially the corresponding short selling on the one hand to make the transfer smooth,of macroeconomic risk caused by the uneven weakened the trading mechanism of risk gathered themselves together,on the other hand,margin trading has the "innovation incentive effect",which improves the innovation efficiency of enterprises and significantly improves the technical output with the same technical input.Third,the higher the micro enterprise risks carried by enterprises(stocks),the lower the level of technological innovation.(a)the more frequently local officials change,the stronger the negative relationship between micro enterprise risk and technological innovation level.Official policy uncertainty for local enterprises which caused by the change of operating,investment and financing activities has an important influence,change in official policy implementation caused by discontinuous relationship between government and enterprises,to readjust later through the influence of micro enterprise risk role in technology innovation,intensify the micro enterprise risk to the negative effect of technology innovation.(b)the stronger the overconfidence of managers,the stronger the negative relationship between micro enterprise risk and technological innovation level.Overconfident managers will take aggressive decisions on debt financing,and the duration of debt financing is longer.Combined with strong expansion impulse,the capital allocation of enterprises is volatile,making them more vulnerable to micro enterprise risks such as liquidity risk and operational risk.(c)the stronger the overconfidence of investors,the stronger the negative relationship between micro enterprise risk and technological innovation level;The stronger the loss aversion of investors,the weaker the negative relationship between micro enterprise risk and technological innovation level.Overconfidence investors less focus on the company's surplus information disclosure,usually tend to excessive trading,making it easier for the stock price of the micro enterprise risk gathered and sudden release,managers have to make emergency measures,for the need to maintain a long-term investment of technological innovation has formed a certain degree of inhibition;Lose-averse investors are more sensitive to "visible and tangible" information such as financial data.Micro enterprise risks presented by stock prices can more quickly reflect the real situation of enterprises without accumulating sudden shocks.Managers can devote more energy to technological innovation of enterprises.Fourth,the higher the risk of cross-infection carried by enterprises(stocks),the lower the level of technological innovation.(a)the better the corporate social responsibility performance,the weaker the negative relationship between the cross-infection risk and the level of technological innovation.Corporate social responsibility can pass information effect and reputation insurance effect of two transmission mechanism ACTS on the stock price,reduce the enterprise's information asymmetry and investors irrational emotions,for the risk of cross infection diffusion effects play a significant inhibitory effect,alleviate the risk of cross infection the negative effect of technology innovation of enterprises.(b)the higher the marketization level of the region where the enterprise is located,the weaker the negative relationship between the cross-infection risk and the level of technological innovation.The lower the level of marketization,the easier it is for enterprises to take risks and take risks higher than they can bear,which makes the risks they take infect each other with the risks in the corresponding network and intensifies the effect of cross-infection risk.(c)the richer the social network between the chairman and the general manager,the weaker the negative relationship between the cross-infection risk and the level of technological innovation.There is a close relationship between an enterprise's ability to bear the risk of cross infection and its social network.The more complex the social network is,the higher the risk level an enterprise can bear,which to some extent "disperses" the negative impact of cross infection risk on technological innovation.(d)the higher the social concern,the weaker the negative relationship between the risk of cross-infection and the level of technological innovation.In listed enterprises with higher social attention,the information transfer between the management and investors is smoother,which to some extent alleviates the risk contagion caused by investors' panic trading behavior,and indirectly improves the environment for technological innovation of enterprises.(e)if the industry game state of listed enterprises is competition and reverse predation,the negative relationship between cross-infection risk and technological innovation level will be enhanced;If the industry game state of listed enterprises is symbiosis and positive predation,the negative relationship between cross-infection risk and technological innovation level will be weakened.Like the competition for material resources between organisms in nature,listed companies will also compete for the "ecological resources" in the same industry to achieve rapid development.Competition state and reverse feeding mainly reflects in mature industries,the industry's growth has slowed,the rest of the imagine space is limited,the above two kinds of relative to other enterprises face more pressure of competition,will be affected by any carelessness knocked out,given the risk of cross infection of high degree of uncertainty and rapid infectious,enterprise measures tend to protect themselves as primary objective,rather than with high uncertainty of technology innovation,to some extent this magnified cross infection risk adverse impacts on the enterprise technology innovation.In the forward feed on state of the listed companies have higher productivity than the opponent,or the more advanced business model,even encounter risk of cross infection in the game industry has more choice space,relatively more willing to put effort into the technological innovation in order to ensure the future of industry leading position,the cross infection is weakened to some extent the negative impact of the risk to the enterprise technology innovation.Symbiotic status of listed companies tend to exist in the emerging industry of imaginary space of the industry is huge,and the development of any one party are promoted the progress of industry,all businesses will benefit from it,in the face of the cross infection risks,"positive externalities" of technological innovation,greatly ease the cross infection risk adverse impacts on the enterprise technology innovation.At the same time,combined with China's current development status and innovation environment,this paper also provides many suggestions for enterprises,governments and regulatory authorities,to promote the technological innovation of enterprises and the sustainable development of macro-economy.