| In recent years,in order to encourage enterprises to attach importance to R&D innovation and increase R&D investment,China has constantly promoted the implementation of the policy of additional deduction for R&D expenses,and achieved good results:the number of patent applications ranks first in the world;R&D investment grew by 14.2 percent.The deepening implementation of the additional tax deduction policy for R&D expenses has provided sufficient impetus for China’s innovation-driven development.On the basis of existing literature,this thesis further explores the effect of additional deduction intensity of R&D expenses on enterprises’ innovation ability.In terms of measuring innovation capability,a comprehensive index reflecting enterprise innovation capability is calculated by using principal component analysis and entropy method.Taking the gem listed companies in China as samples,this thesis selects the relevant data of 315 listed companies from 2013 to 2020,and empirically analyzes the impact of additional deduction intensity of R&D expenses on enterprises’ innovation ability and the time lag effect of enterprises’innovation ability by using bidirectional fixed effect model and systematic GMM model.In this thesis,we find that:(1)the increase of additional deduction intensity of R&D expenses can significantly improve the innovation capability of enterprises;(2)The effect of additional deduction intensity of R&D expense on large-scale enterprises is more obvious;(3)The effect of additional deduction intensity on innovation ability of firms with higher financing constraints is more obvious;(4)The effect of additional deduction intensity on the innovation capability of non-state-owned enterprises is more obvious.The above conclusions will bring some enlightenment to the implementation of the policy of additional deduction for R&D expenses and enterprise innovation. |
