Abstract In full consideration of the spatial correlation of innovation activities, we use dynamic spatial panel analysis approach to test the relationship between interregional capital flows and the coordinated development of regional innovation. The study found that spatial distribution characteristics of innovative production activities in eastern China and mid-western China are not the same, the eastern region of innovative production shows a high-high or high-low spatial agglomeration of characteristics, while the central and western regions show a low-low or low-high spatial agglomeration feature. The innovation activities in National、Eastern and mid-western regions all show a divergent trend. Additionally, capital flows can significantly promote both the regional disparity in national and eastern areas, while it has no significant impact on the mid-western regions.
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Received: 04 January 2016
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