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Referee: 1

Comments to the Author
This manuscript studies the impact of two forms of government innovation assistance programs - innovation subsidies and tax refunds - on the R&D production of Chinese pharmaceutical companies. This is a very interesting research topic for us. The study tests a number of hypotheses and draws conclusions through quantitative analysis. However, I would like to see more concrete raw data on the quantitative analysis. Otherwise, I do not find it very convincing. I would also like to see a specific discussion of the differences from previous studies. I believe the paper will be even better if you do so.
More specifically, I am worried about the following points.


(1) The authors present many hypotheses which are H1a, H1b, H2a, H2b, H3a, H3b, H4a, and H4b and analyze them quantitatively. The variable definitions and descriptive statistics are listed in Table1 and Table2 and the regression results for each model are shown the Table 3, Table 4, Table 5, Table 6, and Table 7. These results are then used to test the hypotheses and draw conclusions. However, the actual contents of Table1 and Table2 are black boxes, and there is no way to verify them. Also, there seems to be no explanation of the model from 1 to 4.

(2) Also, regarding the INPI that means the total number of patents in Table 1, the results are not compared and discussed with those of Cappelen et al. (2012) and Moretti and Wilson (2014), which are cited as previous studies. There is no crucial discussion of how the current results in China differ from the results in those other countries and also the reason why in this manuscript.

I cannot make an accurate judgment because I lack the materials to make a solid decision.


Referee: 2

Comments to the Author
Dear Author(s),
Overall paper is very well written and meets the required standards. However, a few suggestions are put forward to make its worth reading.
1. Abstract: A paragraph on methodology can make it a comprehensive abstract.
2. Literature review should be updated with a few recent papers i.e. 2020-21
3. Methodology: Page 09, line 36, 'Special Treatment (ST*) need to be defined in comprehensive way for the readers.
4. Moderator: page 11, The author(s) should clearly explain the time line and technique used to collect the primary data.
5. VIF threshold reference is missing. Author(s) may consider to provide even conservative reference due to given results.
6. It was observed that Author(s) have used different styles of result reporting, it may be uniformed with providing beta value and p-values i.e. page 17, line 55-60
7. Discussion and Conclusion: Author(s) must add some references in (Point-2) to strengthen the discussion part as provided in the same section i.e. (1 and 3)
8. Page 30, line 47, I guess it must be competitiveness rather than 'competitive'
9. In my opinion, a separate section on limitations and future research directions can make study worth reading.




EditorµÄÖ÷ÒªÇãÏòÊÇ£ºYou will see that although the referees find some merit in the paper it is required that substantial revisions be done before we can consider it further.  Nevertheless, we do hope that you will be able to undertake the additional work on the paper and look forward to receiving a revised manuscript in due course.


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