The Impact of Factor Market Distortion on the Efficiency of Technological Innovation: A Spatial Analysis

The growth of scientific and technological innovation in China is facing a bottleneck under the influence domestic foreign environments. economic internal circulation policy may explore new driving forces for from perspective optimizing efficiency production factor allocation. This research applies provincial data 2001 to 2017 empirically investigate spatial effects market distortions on innovation. DEA (Data envelopment analysis) model with variable returns scale exploited measure function approach can be harnessed labor capital distortions. correlation test results econometric regressed three weight matrices draw following conclusions: (1) No matter how connection established, shows strong positive correlation. (2) Labor distortion lead low allocation efficiency, which inhibits improvement efficiency. (3) When considering inter-regional connections, inhibitory effect spillover surrounding areas. (4) Human advanced industrial structure are conducive Optimizing become significant path release room