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The Relationship Between Foreign Direct Investment From China With Chinese Export

Posted on:2008-06-19Degree:MasterType:Thesis
Country:ChinaCandidate:Y N YangFull Text:PDF
GTID:2189360212485144Subject:International Trade
Abstract/Summary:PDF Full Text Request
International trade and foreign direct investment are two most important economic activities now, therefore, their mutual relationship should be discovered so as to produce a harmony of the policies on the two. A lot of successes have been taken by Chinese economists about the relationship between foreign direct investment in china with Chinese export. But there are few researches about the relationship between foreign direct investment from china with Chinese export, let along positivist analysis in this field. This article aims to show the relationship between foreign direct investment from china with Chinese export, with great significance in both academic and practical field.As for it, it is necessary to look back on the development of theory of international trade and theory of foreign direct investment first and then make a critical analysis of the previous studies on the relationship make by scholars home and abroad. Mundell's theory and the"marginal industry "theory of Kojima, the main schools and views in this field, are the important theories of this article.Since " Going out" became a crucial strategic policy adopted by Chinese government, there are a great trend on both the number of foreign direct investment companies and the sum of foreign direct investment. The sum of Chinese export also increases with years. But these are not enough to illuminate the relationship between them. According to an positivist analysis on the basis of 20—year statistics, this article show that the foreign direct investment from China promoted Chinese export. This article analyze the reasons for this, from three views --the characteristic of their relationship, the cause of FDI and industry structure. On the basis of "marginal industry" theory of Kojima, the policies and advises are given: Fist of all, as a developing country, China should attach importance to and develop FDI; secondly, Chinese FDI and export should serve the industry structure. Government should plan and arrange this, supervising when it works. Finally, the "marginal industry "theory of Kojima can be used in FDI from china to other developing countries. And the main purpose of the Chinese direct investment to the developed country is to study the technology and experience of management of the developed country, or to extend market.
Keywords/Search Tags:FDI, Export, Positivist analysis, Marginal industry theory
PDF Full Text Request
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