| A prominent phenomenon in Jiangsu economy growth is foreign direct investment continuing inflow in recent years. As one of the most quick economy developving provinces, foreign direct investment of Jiangsu Province has nearly occupies one fifth of China during 2004. Therefore, it is practical and theoretical to study the scale as well as necessity of introducing FDI, and whether introducing FDI could promote Jiangsu economy growth or not.With the instruction of modern economic theory and modem statistical theory and method, the article has drawn latest research achievement concerning foreign direct investment theory and economy growth theory, blended both standard analysis and real diagnosis analysis research techniques, portrayed FDI pattern of Jiangsu Province, analyzed comprehensive effect of FDI in Jiangsu Province, established dynamic simulated model between FDI and economy growth of Jiangsu Province with SD software, discussed conduction mechanism of FDI and economy growth of Jiangsu, and proposed that Jiangsu Province should use FDI to promote economy growth.Some suggestions are put forward as follows. First, the function of FDI should be scientifically localized in Jiangsu Province economy growth and FDI is an important part of it. Second, served as strategic key point to Jiangsu economy development, science and technology should be given priority to develop. Third, Jiangsu government has to take use of multinational corporations' and family firms' different superiority to develop Jiangsu economy by multinational corporation's leadership status and family firm's foundation. Last, government should make it clear about the goal of introduction FDI when introducing foreign direct investment, and integrate FDI with Jiangsu's strategy of economy growth and society development closely. Meanwhile, government ought to relate Jiangsu's strategy of economy growth with national development strategy and melt it into Chinese macroscopic economy development strategy. |
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