Title: The impact of government subsidies on the innovation of new energy vehicle companies

Authors: Zhilin Ding; Jianing Zhang

Addresses: Center for Big Data and Decision-Making Technologies, College of Business and Public Management, Wenzhou-Kean University, Wenzhou, 325060, China ' Center for Big Data and Decision-Making Technologies, College of Business and Public Management, Wenzhou-Kean University, Wenzhou, 325060, China

Abstract: In recent years, the public has gradually paid more attention to the new energy industry, where the new energy vehicle plays a key role but still suffers the problem of slow growth. The government uses fiscal subsidies to help enterprises develop. The research takes China's new energy vehicle listed companies from 2006 to 2020 as a sample to empirically test the impact of financial subsidies on the innovation intensity of new energy vehicle companies. The results show that the financial subsidies can significantly enhance the strength of innovation and development investment of new energy vehicle enterprises, and the impact is linear instead of nonlinear structure. Moreover, the impact of financial subsidies on the intensity of innovation investment of new energy enterprises is more significant for state-owned enterprises. The present study sheds light on the effect of financial subsidies on the innovation of new energy vehicle enterprises in the international markets.

Keywords: new energy vehicle; government subsidies; research and development; innovation intensity; state-owned enterprise; China.

DOI: 10.1504/IJMEF.2023.131890

International Journal of Monetary Economics and Finance, 2023 Vol.16 No.3/4, pp.213 - 221

Received: 31 Jan 2022
Accepted: 29 May 2022
Published online: 04 Jul 2023 *

Full-text access for editors Full-text access for subscribers Purchase this article Comment on this article