Evaluation of financial and tax institution on the transformation & upgrading of manufacturing industry: Based on the investigation of Chinese private enterprises

This paper uses the DEA and C-D functions to analyze the Transition & Upgrading efficiency of the manufacturing industry and the policy incentive effect. It is found that the overall Transition & Upgrading efficiency of manufacturing industry is low, the scale efficiency is good, the technical efficiency is low, and the overall scale return is decreasing, indicating that the investment resource structure and direction should be optimized. Tax policy has positive incentive to some extent while fiscal policy has negative impact. It mainly through the investment of science and technology funds in Transition & Upgrading efficiency. In addition, the level of entrepreneurs in private manufacturing industry is negatively correlated with the efficiency of Transition & Upgrading, and foreign trade can reverse promote the improvement of the efficiency of Transition & Upgrading.