Political Uncertainty,Financing Constraints And R&D Spending

For micro-enterprises,the external macroeconomic environment has a significant impact on them.China’s political management system and the promotion mechanism of government officials have their own particularities.As the key officials of local governments are in charge of the political economy of their local jurisdictions,their changes are periodic to some extent,and the political uncertainty caused by this attribute will further exert profound influence on the political and economic environment.At present,China’s economy is stepping into the new normal at a medium-high speed.To adapt to the new normal,China’s development model should be transformed from "factor-driven" to "innovation-driven",in which the key is to enhance enterprises’ r&d and innovation input.Most Chinese enterprises have the problems of insufficient r&d investment and innovation ability,which are mainly caused by the large capital demand,high risk,long cycle and uncertain investment return of their r&d activities.The change of local officials is an important factor of political uncertainty,and it is of great practical significance to study wehther the changes brought by it to the political and economic environment will have new impacts,and what mechanism will be adopted to act on the reasearch and development activitives of enterprises,and find that reasons for the low innovation ability of enterprise is of great pracitical significance to improve the economic benefits of enterprises and optimize China’s industrial structure.This article is based on economic consequences of political uncertainty research,financing constraints and R&D input factors.The study selects an object to 29 provinces and cities of China.The party secretary and governor of replacement measures political uncertainty.The article uses China’s Shanghai and Shenzhen A-shares from year 2013 to 2017 listed private companies as research samples,setting up multiple regression model to investigate the relationship between the political uncertainty and the corporate R&D input,and tries to illustrate that the financing constraints in the relationship of political uncertainty and enterprise R&D do play an intermediary effect.The empirical reaesrch and draw the following conclusion:(1)The political uncertainty caused by the change of local officials has a significant negative correlation with the R&D investment of enterprises,that is,the increase of political uncertainty will significantly inhibit the R&D investment of companies;(2)There is a significant positive correlation between political uncertainty and corporate financing constraints,that is,with the increase of political uncertainty,corporate financing constraints will be further intensified;(3)Financing constraint is the intermediary variable of the R&D investment of enterprises with political uncertainty,that is,the increase of political uncertainty will increase the financing constraint faced by enterprises,thus affecting their R&D investment.Based on the above research conclusions,this paper puts forward corresponding opinions and suggestions from the aspects of maintaining macroeconomic policy stability,improving policy transparency,strengthening enterprise self-construction,improving the ability to resist external risks and exploring multi-channel financing.