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Have China’s Unconverted Research Institutes Been Left Behind

Author

Listed:
  • Renai Jiang

    (School of Economics and Finance, Xian Jiaotong University)

  • Daniel Tortorice

    (Department of Economics, College of the Holy Cross)

  • Zhaohui Xuan

    (Chinese Academy of Science and Technology for Development)

Abstract

Beginning in 1999, the Chinese government initiated a substantial restructuring of its roughly 4,000 research institutes. While many were given specific classifications to designate their institute objectives, many were left unconverted. We use a novel, fifteen-year panel dataset on China’s system of research institutes to examine if unconverted institutes were disadvantaged relative to their converted counterparts. Unconverted institutes had a higher risk of exiting the research institute system and lower productivity growth than converted research institutes. However, their revenue growth kept pace with converted institutes and they continued to patent at similar rates. Finally, their publication of scientific papers declined relative to converted institutes. We conclude that the restructuring program has not left the unconverted institutes behind.

Suggested Citation

  • Renai Jiang & Daniel Tortorice & Zhaohui Xuan, 2019. "Have China’s Unconverted Research Institutes Been Left Behind," Working Papers 1909, College of the Holy Cross, Department of Economics.
    • Handle: RePEc:hcx:wpaper:1909
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    File URL: https://hcapps.holycross.edu/hcs/RePEc/hcx/HC1909-Tortorice_Unconverted.pdf
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    More about this item

    Keywords

    China; R&D; Research Policy; Patenting; Research Institutes;
    All these keywords.

    JEL classification:

    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O32 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Management of Technological Innovation and R&D
    • O38 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Government Policy

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