The Study On Technology Spillover Effect And Absorption Ability Of Liaoning Province

Liaoning province has attracted lots of FDI Since reform and opening up.more and more people begin to concern the effects of FDI on Host County in economic political respects.One of the problems which we focus on is that the existence of technology spillover effects of FDI,because the latter has been a key reason for attracting foreign direct investment.Despite many years we have been guided by the "market for technology" strategy of attracting investment,the experience findings raise challenge in this regard.This paper studies on the inherent mechanism of the technology spillover and the absorption capacity of host country from a special aspect.FDI technology spillover effect as a theoretical hotspot has been studied by the theorist, but most of the studies are focusing on the national level,less people study on foreign direct investment technology spillover effects of each province also the Liaoning Province. This paper wants to analyze the reason of this result from study the technology spillover effect of FDI to improve the ability of technology progress.This paper proposed an assumption that "foreign enterprises has technology spillover effects on internal enterprises," and use two departments production function model to analyze this problem,results show that although the existence of foreign elements of the relative productivity advantage,it bright he little technology spillover effects to the technology progress.This paper analyzes the key element of the test results of the host absorption capacity.This paper constructs a systematic absorption capacity theoretical framework,including the infrastructure and R & D investment,investment in human capital,market structure and other factors.This paper focuses of on the introduction of the concept of absorptive capacity for understanding,technology spillover effects and explains the key differences role.At the same time,this paper constructs a technical absorptive capacity indicator system and analyzes the difference between the technology absorptive capacity of Liaoning Province and the other province.