Technology and Sihua (below)

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Government investment in science and technology is essentially a fiscal expenditure. It is aimed at producing and providing public goods. Therefore, it should not seek commercial profits. As the project itself is for the purpose of wealth and commercialization, the investment of other capitals is based on obtaining more commercial profits. Two different kinds of capital, tangled in the same project, are prone to a phenomenon in which capital erodes another kind of capital—either the commercial capital puts the government into profits, or the government invests in the curb of the profitability of commercial capital.
In order to resolve the contradiction between the government's science and technology investment funds and the nature of commercialized funds, many countries’ government science and technology investment has begun to appear as a trend of commercialization. Its performance is:
(1) Changes in goals. The goal of government funding for science and technology is clearly defined as value addition and hedging.
(2) Changes in organizational mechanisms. Build a mixed fund between government funds and projects. The government entrusted the funds for science and technology investment to the fund companies, and the fund companies operated completely according to the goals set by the government.
(3) Changes in the reinvestment mechanism. Government funds can not only become "sunken costs", but also have a direct contribution to the increase in the scale of science and technology investment. Because commercial operations have changed the issue of lack of "loops" in science and technology investment, it has become possible to reinvest government investment in science and technology.
Third, invest in "corporate company"
The “corporatization” of government investment in science and technology means that the government arranges R&D capital to the output of R&D results. The entire organizational process and operational mechanism is a government act internally, and it is a strict commercialization of external competitive entities. process.
Judging from the classification and use of scientific and technological funds of the Korean government, this kind of “corporatization” feature is obvious. Another example is that in the 1960s and 70s of the 20th century, in order to obtain a competitive advantage in the fields of automobiles and household appliances, the government has invested huge sums of money to support companies in joint R&D activities and has finally achieved success.
However, it is particularly worth noting that the “corporatization” of government investment in science and technology is more concentrated in the highly strategic and highly marketable strategic industries. For an economy, these industries not only have a huge external spillover effect, but also have a direct huge economic effect. In other words, the strategic industries formed by such strategic technologies are not only embodied in the safe operation and industrial upgrading of an economy, but also can bring high added value and high wage employment to the economy through marketization. source.
IV. Investment in Finance If science and technology innovation is the engine of economic growth in an economy, then financial support is the fuel that can be used to keep the engine running. However, with the further marketization of state-owned commercial banks, China’s traditional science and technology and financial cooperation have actually entered a blind alley—the science and technology departments require the financial sector to provide credit support for scientific and technological activities, and the characteristics of the financial sector itself cannot withstand scientific and technological innovation. High risk in activities.
There are many reasons for this situation. The most important problem lies in the following: First, the serious information asymmetry generated by the lack of comprehensive information communication between the scientific and financial communities and the financial sector exaggerates the risks of technological innovation activities to a certain extent; Due to the cooperation of individual projects, the risk of financial capital cannot be effectively circumvented; the third is that government investment in science and technology is not appropriately financialized.
Judging from the successful operation modes of some countries in the world, government investment in science and technology should play a role in guiding and mobilizing social resources. It must take the lead in turning some of them into financial capital, and involve social capital in the entire scientific and technological innovation through financial innovations and other forms. .
The characteristics of government financial input for science and technology are shown in:
(1) The government's science and technology input funds are merged with other types of funds into homogeneous financial capital;
(2) In addition to mandatory targets that have been set in the use of funds, they shall be operated according to commercial financial capital;
(3) The government withdraws its direct investment in the project, and mainly focuses on the capitalization and industrialization of construction technology.
(4) The effect of government funds not only depends on the amount of funds they have earned, but more important assessment indicators are how many other capitals are involved in scientific and technological innovation activities.
In addition to increasing the efficiency of government investment in science and technology, the financialization of government funds is also subject to WTO rules. At present, most countries and regions with a certain degree of innovation capability are basically members of the WTO. Their government investment in science and technology needs to shift from direct support to government guidance and financial support. Scientific and technological activities themselves are divided into scientific activities, basic technological activities, applied technological activities, technological industrialization activities, and service activities that provide guarantees for science and technology. The results of their activities include both pure public goods, quasi-public goods, and quasi-goods, pure commodity. The capitalization of scientific and technological achievements and the construction of industrialized environment are to create a commercialized and industrialized environment for scientific and technological achievements with commercialization prospects in science and technology activities.

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