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Abstract

Employing the count data analysis based on survey data of 1355 firms in China’s 29 provinces collected in 2007, this study analyzes the impact of public and private agricultural R&D investments on research productivity measured by the number of patents granted to agricultural firms. We find that private R&D investments and having an own R&D research center increase the number of patents granted. However, the public R&D investments do not have a statistically significant effects on the number of patents granted. We also find that the number of research staff, especially of doctoral research staff, has a positive and statistically significant effect on the number of patents granted. Multi-national firms and firms located in central China have fewer patents than their counterparts. The main findings suggest that it is more efficient for Chinese government to improve research productivity if it encourages private agricultural R&D investments and helps agricultural firms to build their own R&D centers. Chinese government may also need to strengthen the legal framework and institutional resources for the protection and enforcement of intellectual properties to encourage domestic and international firms patent their new technologies.

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