An Empirical Study Of Interactive On Venture Investment And High Technology Industry Development

High-tech industry development is the important power of boosting economic growthand the embodiment of the nation innovation ability. But High-tech industry has thecharacteristics of high investment, high risk, high income compared with the traditionalindustry and those decide the High technology enterprise has difficulties in financing.Venture investment solves the above problems excellently. Venture investment not onlypromotes the development of High-tech industry but also makes itself has been furtherdevelopment; the two factors present a relationship of promoting and winning to each other.Realizing the benign interaction of the High-tech industry development and the Ventureinvestment has an important significance on promoting the rapid development of ourcountry’s High-tech industry and realize the change of economic development model.This paper studies the interaction of the High-tech industry development and theVenture investment and makes empirical analysis using statistical data. It is structured intosix sections. Section1introduces the background and its meaning, main innovation points,and the definitions of relative concepts; section2is the theoretical basis of the paper, whichanalysis the interaction in two factors. In section3, it is the descriptiveness analysis abouttwo factors combine with the practice of it in our country. An econometric model is set up tostudy the relationships between the two factors in section4. Section5summarizes theproblems of interaction in two factors and then analyzes the constraint of Ventureinvestment promoted the development of High-tech industry. Section6concludes the paperand gives relative policy suggestions to optimizing interaction of the High-tech industrydevelopment and the Venture investment with the purpose of developing Ventureinvestment.The conclusions of this paper are mainly as follows. First, there exists an interactive effect between the two factors but is inharmonious. Second, there exists a dynamicequilibrium relationship between the two factors through the cointegration analysis. Third,we study the short-term dynamic econometric relationship through error-correction model,the results shows that the long-term affects of Venture investment on High-tech industry ismore significant than in the short-term. Fourth, the results of pulse response and variancedecomposition shows that the development and the fluctuate of High-tech industry has agreat influence on Venture investment, but the promoting effect of the Venture investmenton High-tech industry is mainly embodiment in the medium and long term while it is notobvious in the short run.According to the above conclusions, the policy suggestions should be: First, Broadenthe financing channels of Venture investment. Second, improve and enrich the exitmechanism of Venture investment. Third, optimize the investment environment ofHigh-tech industry. Fourth, lead Venture Investment stage moved forward. Fifth, formulateand perfecting relevant laws and regulations.