The Empirical Analysis Of FDI For The Optimization Of Our Country's Export Goods Structure

Since the reforming and opening up, the FDI absorbed into our country has been increasing in successive years: the amount of FDI has risen from 0.16 billion dollars of 1980 to 46.878 billion dollars of 2001. Our country has been the second position in drawing FDI, only inferior to USA since 1993. In 2002, China attracted 52.743 billion dollars of FDI, surpassing America and becoming the NO.one. The massive entry of FDI has brought a huge vigour into the economic developing of our country. At the same time, China has achieved plentiful and enormous progress in the trade of export: the quantity of export sustains an increase, and the export goods structure, defined by the ratio of export volume of industrial products compared to that of the primary products, also continues to optimize, which has risen from 0.99 of 1980 to 9.1 of 2001.Is there any relationship between the entry of FDI and the optimization of our country's export goods structure? Does FDI contribute to the optimization of the export goods structure? From the point of theory of non-homogeneity capital, FDI is superior to the domestic capital in the aspects of technology and the efficience. Just because of the superiority of FDI, the host country will fully focus on attracting FDI through favourable policies to develop economy. The advanced technology brought into the host country by FDI can help the host country improve the manufacturing technology and increase the contents of technology, knowledge and information in export products, making the export products more competitive. It can also optimize the export goods structure via enlarging the export volume of high and new technical products.This paper firstly analysed the effects in the long-term and short-term that FDI brings to export goods structure by the way of Cointegration and ECM, and on the basis of ECM, makes an insight into the cause and effect between FDI and export goods structure. The result is that the FDI has a positive effect in the long-term and a negative effect in the short-term, but the net effect is positive. The FDI compose a cause of export goods structure both in the long-term and short-term. The results indicate the FDI has optimized our export goods structure. Secondly, the paper contrasts the export goods structure of the foreign-funded enterprises and that of the host enterprises, it emphasizes the significance of foreign-funded enterprises in optimizing the export goods structure of our country. Thirdly, the paper using the highand new technical products of export as an example, focuses on analyzing the "technical spillover" to the host enterprises brought by FDI via two ways, projecting the effect of spillover to our country's export goods structure. Finally, it analysed all kinds of factors influencing the spillover by Major-component method, and generalizes some important factors.