Higher education development, technological innovation and industrial structure upgrade

This article takes different regions of China as research objects, collects panel data from 2006 to 2019, and develop an index system of higher education development, technological innovation level, and industrial structure upgrade. The spatial Dubin model is used to study higher education and technological innovation spatial effect. The paper found that higher education and technological innovation have significant positive spatial spillover effects on industrial structure upgrade. Higher education development has a positive indirect effect on industrial structure upgrade, and its direct effect lesser compared with indirect effect. Further, the direct effect of technological innovation on industrial structure upgrade is positive. Whereas, its indirect effect is not significant. In addition, some control variables were included in the model. The results of control variable indicate that urbanization has a positive impact on industrial structure upgrade, and a negative effect on adjacent areas, and its direct effect greater than the indirect effect. The fiscal expenditure indirect effect is lower compared with its direct effect. FDI direct effect and indirect effect are both positive. Finally, the study discusses some policy recommendations.