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Technology Importation, Institutional Environment and Industrial Upgrading: Evidence from China

Author

Listed:
  • Cai-Xia Song

    (School of Economics, Shandong Normal University)

  • Cui-Xia Qiao

    (School of Economics, Shandong Normal University)

Abstract

Considering the importance of technology for industrial structure upgrading, especially under the impetus of the fourth industrial revolution, the paper examines the impact of technology importation on industrial structure upgrading in 31 Chinese provinces from 2002 to 2020. It also emphasises the moderating role of institutional environment based on two dimensions of industrial upgrading. The findings indicate that technology importation has a positive effect on industrial advancement; however, its impact on industrial rationalisation is not significant. A higher-quality institutional environment can indirectly contribute to the impact of technology importation on industrial upgrading. Finally, the effects of technology importation and institutional environment on industrial upgrading vary with regions, and there are also differences in the moderating effects of different aspects of institutional quality. Therefore, the article suggests that technology should be introduced according to the institutional environment of different regions, and the government should develop personalised industrial upgrading strategies.

Suggested Citation

  • Cai-Xia Song & Cui-Xia Qiao, 2023. "Technology Importation, Institutional Environment and Industrial Upgrading: Evidence from China," Journal of Economics / Ekonomicky casopis, Institute of Economic Research, Slovak Academy of Sciences, vol. 71(1), pages 23-45, January.
    • Handle: RePEc:sav:journl:v:71:y:2023:i:1:p:23-45
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    More about this item

    Keywords

    technology; institutional environment; industrial upgrading;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • L16 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Industrial Organization and Macroeconomics; Macroeconomic Industrial Structure

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