Empirical Analysis On The Effects Of FDI To Shaanxi Trade

Since the 1980s, as the reform and open policy step speeding up unceasingly, our country has obtained the great achievement on absorbing and using the foreign capital. From 1993, our country has continuously been becoming the second great capital inflow country being only inferior to US for many years in the whole world and the first in developing countries. In 2003,our country surpassed US and become the global first great capital inflow country. At present, the foreign direct investment (FDI) has become the main way of our country using the foreign capital. There were many exhaustive elaborations on FDI's promotion action to our country economy in the academic circle. About the effects of FDI to the foreign trade, many scholars also carried on the discussion and empirical analysis from the different angle in the last few years. These research indicate that international capital movement has the quite big promotion effect to our country foreign trade development.This paper's research object is Shaanxi Province being an important province in the Great West Development. By using qualitative and quantitative method, author systematically studied the effects of FDI to the Shaanxi foreign trade. First, after summarizing and analyzing the domestic and foreign research achievement, this paper determined the suitable effective empirical research method; Second, based on Shaanxi Province's related statistical data after 1990's, describes and analyses the present development situation and the structure characteristic of FDI (investment total quantity, investment way, investment has originated) and the foreign trade (total quantity, trade partner, industrial structure and so on) in detail; Then, tests and evaluates the concrete influence of FDI total quantity, the way as well as the origin to the Shaanxi Province trade total quantity by using present more popular methods such as cointegration analysis, panel data, gravity-like Model and so on, and elaborates promoting action about FDI to the Shaanxi's trade total quantity according to action mechanism from related theory and actual situation. The article illustrates the problems by combining pertinentdata, utilizing massive graphs and equations, and making the qualitative analysis establish on the quantitative analysis to actual data, finally, obtains the corresponding conclusion. Main conclusion as follows:1. Shaanxi Province FDI and the foreign trade development has approximately the same synchronized tendency, and each aspect of FDI has extremely big promoting action to the Shaanxi trade's growth and raises Shaanxi Province's trade ability in the overall.2. Through the above research, author discovers Shaanxi Province has many problems in the process of attracting and using foreign capital, for example, the cost of bringing in foreign capital unceasingly rise, the project scale of bringing in foreign capital is low, the investment environment is not good, the specialized personnel for attracting enterprises lack, the opening's degree is not high to foreign countries; Additionally the function of foreign capital is not obvious to the technology-intensive product, the area distribution of foreign capital don't balanced, the imports growth of foreign capital enterprises is excessively quick, fund arriving rate is low and so on, these all have the certain negative influence to the Shaanxi foreign trade development.3. In view of the above question, this paper proposes the corresponding suggestion, for instance, guiding foreign capital flows-to, improving the scale and the quality of foreign capital, unceasingly optimizing investment environment and industrial structure, strengthening supervision and management to enhance the operation efficiency of foreign capital enterprises, developing international market, encouraging competes and reducing monopoly, holding the opportunity to developing foreign capital enterprises.