The Empirical Study On The Negative Environment Impact Of FDI In Zhejiang Province

With the continuous enhancement of the awareness of environmental protection, capital flows and environmental problems have become an increasing concern. Foreign direct investment as one of the factors of production to the imposition of a country's economy, in the host country to promote economic growth at the same time, its negative effects on the environment are exposed to more and more obvious, especially in pollution-intensive industries, cross-border transfer. In this paper, selecting the investment in Zhejiang Province as study,try to answer the following questions:Had FDI caused pollution to Zhejiang Province? If so, what were its pollution channels? how much is the elasticity of the stock of FDI?How about the total elasticity?This article has two parts:the oretical and empirical.In theory,this paper, pollution-intensive industries related to the concept of pollution-intensive industries related to the international transfer theory,FDI-related environmental impact theory, on this basis for FDI analysis of the effect on the environment.The direct investment of transnational corporations in the host country's environment will have both positive and negative impact on the net impact has been the symbol of academic debate.OECD member countries, as well as most of the foreign direct investment on the environmental impact of the article from the environmental effects of FDI in terms of positive and negative effects of FDI.To sum up direct investment of transnational corporations on the environment as follows: scale (the expansion of economic output), the structure of the effect (of the redistribution of production and consumption), the effect of technology (the development and dissemination of technology) and other effects (effects of the product And the effect of the law, etc.).In evidence, the paper first by industry, industry analyst at the investment status of FDI in Zhejiang Province, the study found that: Zhejiang FDI mainly in the secondary industry, remained at 82 percent more than a small proportion of primary industry;the second foreign Preferences in industries of manufacturing investment, about 90% of the funds concentrated in the manufacturing sector; Zhejiang pollution-intensive industries in total FDI increased year by year; Zhejiang's major FDI in pollution-intensive industries, in addition to 2005, pollution-intensive industries FDI investment in the amount of the total FDI ratio of greater than 60%;in pollution-intensive industries, heavy pollution-intensive industries had the largest share, in the proportion of 50% and the proportion has increased year by year. Analysis of FDI in Zhejiang's investment in the status quo and the environmental effects of FDI on the basis of this paper established a simultaneous equations, the measurement results show that: FDI in Zhejiang Province to promote economic growth while also causing local environmental pollution; Zhejiang FDI technology Effect is not obvious;FDI is mainly to increase the size of the economy and economic structure for the media exacerbated the pollution of the environment in Zhejiang.Finally, the article on limiting the transfer of cross-border pollution problems put forward his own views:To adjust the investment structure of FDI;To make the strategy of sustainable development to attract FDI.In this paper, the innovation is using the environmental effects of theory about FDI of simultaneous equations to estimate the elasticity of the stock of FDI and the total elasticity.