Research On The Influence Of Financial Subsidy On The Development Capacity Of China's Environmental Protection Industry

With the development of the economy,the consumption of natural resources is increasing,the shortage of resources and the problem of environmental pollution are becoming more and more serious.There have been many large-scale environmental pollution incidents at home and abroad.With the development of the economy,China is facing increasing pressure on resources and the environment.Since the 12th Five-Year Plan,the State Environmental Protection Administration has issued bulletins on the state of the country's environmental protection related industries in 2000,2011,2014 and 2006.The strategic development status of the Environmental Protection industry has been clarified,and the "13th Five-Year Plan" for the development of energy conservation and environmental protection industries has put forward new requirements for the development of China's environmental protection industry.As a typical policy-driven industry,the Environmental Protection industry must be strongly supported by financial subsidies.This paper studies financial subsidies,discusses whether government subsidies have a negative regulatory effect on research and development investment of environmental protection enterprises,and discusses how to optimize financial subsidy policies.In order to promote enterprise R&D and innovation,it provides theoretical guidance for the improvement and development of financial subsidies in the Environmental Protection industry.The research of this paper is based on empirical research,which combines empirical research with normative research.The research content of this paper includes the following five parts:The first part is the introduction,mainly introduces the background and significance of this article,and expounds the important influence of financial subsidies on the development capacity of environmental protection industry.This paper classifies and summarizes the relevant research results at home and abroad,analyzes the current research situation at home and abroad,and points out the direction and significance that this paper can study.The second part is the conceptual definition and theoretical basis.It focuses on the concept of environmental protection industry and financial subsidies,and focuses on the nature of environmental protection industry,as well as the theoretical basis for public product theory,external theory,and sustainable development theory.On the basis of this analysis financial subsidies affect the development of environmental protection industry capacity of the action path.The third part makes a brief analysis of the present situation,problems and reasons of the existing financial subsidy policy.Based on the comparative analysis of financial subsidies,gross domestic product and the amount of public expenditure in general,the paper summarizes the current situation of financial subsidies for listed companies in environmental protection industries.On this basis,we analyze the problems of environmental financial subsidies in terms of the total amount,growth rate and efficiency of their use.The reasons for the above problems are summarized because the current fiscal system has certain constraints on the scale of expenditure of environmental protection financial subsidies,the lack of stable sources of funds for environmental protection financial subsidies,and the lack of supervision in the use of subsidies.The fourth part is the research design and empirical analysis.According to the theoretical analysis based on this article,the research assumptions are put forward.This article selects listed companies in the Environmental Protection industry as a sample,and takes the profit margin of the main business as the explanatory variable,and the strength of financial subsidies and R&D investment as the explanatory variables.On the basis of the analysis of various variables,a model of the relationship between the development capacity of listed companies in environmental protection industry and financial subsidies is established.Afterwards,the sample data was used to analyze it and the robustness test was conducted on the basis of empirical results.The analysis results showed that financial subsidies have a catalytic effect on improving the development ability of environmental protection industry enterprises.The efficiency of financial subsidies for state-owned environmental protection enterprises is lower than that of non-state-owned environmental protection enterprises.Envirornmental financial subsidies will have a certain crowding effect on the R&D investment of enterprises.The fifth part is is the conclusion of the study,and the policy suggestion of financial subsidies to promote the development of environmental protection industry,synthesizes the empirical research above,and the current situation of financial subsidies in China's environmental protection industry,and puts forward the research proposal of this article.The main conclusions of this paper are:First,through empirical research,it is proved that financial subsidies will promote the development of the Environmental Protection industry to a certain extent.Second,in all environmental protection enterprises,the equity nature of enterprises will have an impact on the use efficiency of financial subsidies.The efficiency of financial subsidies of state-owned environmental protection enterprises is lower than that of non-state-owned environmental protection enterprises.Third,due to the crowding effect of financial subsidies,financial subsidies have a negative regulatory effect on R&D investment of environmental protection enterprises.This paper proposes four aspects:establishing a stable system of financial subsidies for environmental protection industries,improving the budgeting of financial expenditures for environmental protection industries,increasing financial subsidies for non-state-controlled environmental protection industries,and improving the structure of financial subsidies for environmental protection industries.In order to promote the development of the Environmental Protection industry.The main innovations of this paper are:First,through empirical research,from the perspective of financial subsidies,this paper enriched the research methods on the impact of national fiscal policies on the development of the Environmental Protection industry.Second,on the basis of studying the contribution of financial subsidies to the development of the Environmental Protection industry,we will further discuss whether the different nature of equity will affect the strength and efficiency of government financial subsidies,and whether government subsidies will have a negative regulatory effect on research and development investment of environmental protection enterprises.Provide guidance for the improvement and development of financial subsidies for environmental protection industries.Due to my limited ability,there are some shortcomings in the following aspects.In the selection of samples,this paper only selected listed companies in the Environmental Protection industry as the representative,the sample integrity is insufficient,to a certain extent can not represent the development of the entire environmental protection industry.In the selection of indicators,the selection of indicators to measure the development capacity of the Environmental Protection industry is not comprehensive enough,and the accuracy of the regression model is not high enough,which may affect the research results of this article to some extent.