Government Subsidies,Financing Constraints And R＆D Investment Of Energy Saving And Environmental Protection Enterprises

Among the seven strategic emerging industries in China,the energy conservation and environmental protection industry is an important pillar of the national economic development.Vigorously developing the energy conservation and environmental protection industry and adhering to the road of green development are the inevitable requirements for the adjustment of economic structure and the transformation of economic development mode.Technological innovation is the internal driving force for the upgrading of energy conservation and environmental protection industry,an important way to promote high-quality economic development,and an ineluctable requirement to improve the core competitiveness of enterprises.In the process of technological innovation,in order to reduce the risk of knowledge spillover,the company generally does not actively disclose the company’s core technology research and development plan and related financial information to the outside world,so the external investors cannot effectively know the potential investment value and risks of the enterprise.In order to avoid the investment losses caused by uncertainty,investors demand for higher external financing costs,which will result in financing constraints.Therefore,the government has formulated a series of subsidy policies to support energy conservation and environmental protection enterprises so as to improve the enthusiasm of energy conservation and environmental protection enterprises for technological innovation and relieve the financial pressure,.Most of the existing literature is conducted from the perspectives of tax incentives,credit rent-seeking,executive background,venture capital,banking competition,etc.,with listed companies,manufacturing,high-tech industries,new energy enterprises,small and medium-sized enterprises,etc.,to study the influence mechanism of enterprise innovation,but few scholars conduct research on energy conservation and environmental protection industry.This paper focuses on energy conservation and environmental protection enterprises,and discusses whether government subsidies can promote their R＆D investment under the background of financing constraints.This paper selects the panel data of listed companies in Shanghai and Shenzhen A-share energy conservation and environmental protection industry from 2010 to 2020 to analyze the relationship between government subsidies,financing constraints and R＆D investment in energy conservation and environmental protection enterprises on the basis of three differences in property rights,enterprise age and size.The results show that the government subsidies significantly promote the R＆D investment and the financing constraints restrain the R＆D investment,which is more obvious in non-state,growing and small and medium-sized enterprises.In addition,the financing constraint reduces the positive effect of the government subsidy on R＆D investment.