Abstract: By using Stochastic Frontier Analysis (SFA), the indigenous innovation efficiency changes and decomposition of Chinese high-tech industry are measured, and the spillover effect of FDI quantity and technological quantity is verified by groups based on ownership structure. The results show that (1) The innovation efficiency changes of private sectors grow faster than that for state-owned enterprises and growing source is significantly different. The indigenous innovation efficiency changes for private sectors mainly come from the rapid growth of technological exchange and allocation efficiency changes, while the changes for state-owned enterprises are mainly due to the ascension of technical efficiency and scale efficiency. (2)Both of foreign quality features and ownership structures are important factors affecting technology spillovers. Technology content and profitability have the positive influence on FDI spillover while average scale of FDI has the negative influence on FDI spillover, although these influences only have significant on state-owned enterprises. The localization of FDI becomes the only foreign quality feature which has the significant positive spillover affect on private sectors. (3) The interaction between quantity and quality features of FDI possesses the significant difference in different departments.

Key words: FDI quality, SFA, system-GMM, enterprise ownership, indigenous innovation efficiency