Research on Measurement and Comparison of Technological Innovation Efficiency of Key Industries in HeBei Province

This paper first deals with the measurement of technological innovation output and a detailed description of two-stage approach, the least squares method adopted in the first stage can estimate Cobb - Douglas production function of the industry and the resulting residuals are considered as the output indicators of the industries´ technological innovation. In the second stage, the stochastic frontier model and the corresponding results drawn from the previous stage are used to estimate new technological innovation function of the entire industry, and the indexes of technological innovation efficiency in different industries are obtained accordingly. Subsequently, the technological innovation efficiency of the key industries in Hebei Province, including iron and steel, food, pharmaceutical, architecture and construction material, textile and garment, equipment manufacturing and petrochemical, is measured by means of this method. Lastly, the related proposals, according to the difference and developing trend of technological innovation efficiency index in different industries, on increasing technological innovation input and reasonable resources allocation are respectively put forward so as to improve the technological innovation efficiency and promote the development of key industries.