The Relationship Between Human Capital And Technology Spillover From FDI

With the rapid development of economic globalization,foreign direct investment(FDI) has attracted more attention as a main form of international capital flows.The substantial inflow of FDI can continuously improve the host country's technological level and organizational efficiency through technology spillover,and the FDI technology spillovers has become the focus topics of research at home and abroad in recent year.Many studies indicate that the process of technology spillovers dose not fulfill itself automatically,both the host country and multinational corporations will influence the process of technology spillovers.The absorptive capacity is deemed to the crucial factor to achieve international technology spillover.In this paper,we focus on the human capital as a main factor of absorptive capacity.Many relevant studies show that human capital can affect both the economic growth and external economic exchanges.Based on the definition of technology spillovers,the author sets up a framework to analyze how human capital affects technology spillovers in China:"Technology spillovers model".Utilizing the country samples,the paper makes a specific study in the impact of human capital on technology spillovers from FDI in China.Based on the empirical framework,this paper gets the following results:(1) The capital accumulation effect in not obvious,if combined with a certain level of human capital,FDI can lead significantly spillovers to China.(2) As one of the most important elements of absorptive capacity,human capital indeed affect the technology spillovers.At present,high-level human capital influences technology spillovers mostly.(3) When the paper tests the subject in different regions of China,the results show:spillover effects are obvious in eastern region,while the capital accumulation effects are not obvious;the capital accumulation effects are obvious in mid and western region.So we should improve the quality of FDI in eastern region,and develop export-oriented economy in mid and western region.