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Research on Innovation Efficiency and Technology Gap in China Economic Development

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  • Jian-Wen Fang

    (School of Business of Soochow University, 50 Donghuan Road, Suzhou 215021, P. R. China)

  • Yung-ho Chiu

    (Department of Economics, Soochow University, No. 56, Sec. 1, Kuei-yang, Taipei 100, Taiwan)

Abstract

In this paper, we use the meta-frontier network DEA approach to evaluate the innovation efficiency of 30 provinces in China from 2009 to 2011. These provinces have been classified into two groups based on their levels of economic development. The first group comprises provinces in the Eastern region, while the second group comprises provinces in the Central and Western regions. First, we use the meta-frontier network DEA method to estimate the technology gaps of innovation efficiency between different operating types. Second, the quadrant analysis method explores the reasons for efficiency losses. Finally, we take the fixed effect model to examine whether industry–university–research cooperation influences technology efficiency. The empirical results indicate (i) the Eastern region has significantly higher innovation efficiency than the Central and Western regions. (ii) Some Eastern provinces have a high technology level, yet their resource allocation capabilities still need to be improved. (iii) Industry–university–research cooperation is an effective way to improve innovation performance.

Suggested Citation

  • Jian-Wen Fang & Yung-ho Chiu, 2017. "Research on Innovation Efficiency and Technology Gap in China Economic Development," Asia-Pacific Journal of Operational Research (APJOR), World Scientific Publishing Co. Pte. Ltd., vol. 34(02), pages 1-22, April.
    • Handle: RePEc:wsi:apjorx:v:34:y:2017:i:02:n:s0217595917500051
    DOI: 10.1142/S0217595917500051
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    5. Wenzhong Ye & Yaping Hu & Lingming Chen, 2021. "Urban Innovation Efficiency Improvement in the Guangdong–Hong Kong–Macao Greater Bay Area from the Perspective of Innovation Chains," Land, MDPI, vol. 10(11), pages 1-19, October.

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