An Empirical Study on Venture Capital Knowledge Spillovers: Based on Spatial Econometric Model

This paper has utilized Moran's I Index to investigate the spatial correlation of the regional technology innovation in China and the spatial econometrics model which constructed on the knowledge production function (KPF) to study the knowledge spillover effects of venture capital. The study has shown that: (i) zone innovation has the feature of spatial correlation with a phenomenon of obvious zone innovation cluster; (ii) venture capital and R&D expenditure have an obvious positive spatial spillover effect on the zone innovation. Thus, we should focus the development of the venture capital on establishing the "zone venture capital center" instead of "blossom everywhere" which we used to in the past.