Abstract:

Based on the sample data of aircraft industry and related industry from 1990 to 2012 in China and improved Grillches-Jaffe knowledge production function,the influence of finance resource came from enterprise itself and Government Science & Technology Funding on innovation output of aircraft industry is analysed empirically. The study indicates:in aircraft industry's R&D activities,the influence of enterprises'self-directed investment on innovation output is greater than the government's direct investment,and the enterprise capital's output elasticity is 0.905 929,the output elasticity of government funding is only 0.206 212;In addition,researches in the field of fundamental knowledge of aircraft conducted in public research and development units funded by the government shows positive spillover effects on aircraft industry's innovation output,the output elasticity is 0.147 512. Thus it can be seen that to promote the development of aircraft industry innovation,Chinese government should not only use its direct and indirect effect of science and technology funding,but also adopt policy incentives to stimulate investment in science and technology of enterprises.

Key words: government's input on science and technology, aircraft industry, knowledge spillover, innovation output