Study of the Impact of Spatial Spillovers on Regional Technology Progress

In this paper, spatial lag model was build to analyze the impact of space interaction to regional technology progress. R&D investment was divided into internal R&D expenditures and technology transfer expenditures to test the role of space interaction and R&D investment on regional technology progress. The data of medium-sized industrial enterprises including between 1996 and 2009 at all regions of China was utilized to do empirical test. The results show that the regional space spillovers effects of technical efficiency as well as technology progress and scale efficiency do exist. Technical efficiency is inhibited by internal R&D expenditures, while internal R&D expenditures improve technology progress and scale efficiency. Technology transfer expenditures promote the level of technology progress and scale efficiency and do not significantly affect scale efficiency.