The Empirical Analysis Of Inter-industry Spillovers From Foreign Direct Investment

With the increasing trend towards global economic integration, as a major driving force of technology globalization, Foreign direcr investment, which plays a basic role in forming the technology innovation and strengthening the ability of sustainable competition in developing countries, keeps on drawing more and more research attention. As a country with a big inflow of FDI, China pays closer attention to utilizing and increasing the technology spillovers to make it as an important part of the development of technology. It's a vital way to open to the world and to speed up the construction of market economy, and an key measure for participating in the international production for China to absorb FDI investment.In the previous study of FDI,Scholars has mainly focused on industry technology spillovers, but now more and more studies have found that FDI inter-industry spillover effects also play an important role in technology spillovers. Therefore, this article concluded on the basis of previous studies, will focuse on different technical levels of the Chinese manufacturing group of FDI inter-industry spillover effects.First of all, this paper has in-depth and detailed analysis on mechanism of FDI inter-industry technology spillovers, including FDI theoretical model of inter-industry spillovers, spillovers process, spillovers channels, as well as the mechanism analysis of influencing factors.On this basis, this article divide China's manufacturing industry of 27 sectors into high, medium high, medium low, and low technology four groups according to OECD standards of technical content, select the sample period 2001-2008, use panel data models, and analyse of groups of different technology levels of FDI inter-industry technology spillovers.This article, through three kinds of regression model, does F test, LM test and Hausman test, and determine the individual fixed effect model to be the best regression model.Through quantitative analysis, reached the following conclusions:(1) From the overall measurement results on the manufacturing sector,, foreign direct investment, whether from industry or inter-industry, has a positive spillover effects on China's domestic-funded enterprises. (2) From results of different levels of technology at the industry data, FDI spillover effects received from different technology levels of manufacturing sectors are different. In the high-tech manufacturing industry group, capital and inter-industry technology spillovers of backward linkages are significantly positive, and there is a clear effect of backward linkages.In the medium and high tech manufacturing industry group, inter-industry technology spillovers is significantly positive, while the industry technology spillovers is not significant.In the medium and low tech manufacturing industry group, both industry and inter-industry technology spillovers are not significant, indicating the technology spillovers of foreign investment are not positive.In the low tech manufacturing industry group, industry and inter-industry technology spillovers are more significant, indicating that foreign investment has played a positive impact on domestic enterprisesFinally, sum up the above empirical results, this paper presents the following four-point proposal:(1)Distinguish between different sectors of FDI; (2)Timely adjust of foreign investment policy and focuse on the effectiveness of the foreign direct investment; (3)Concern about the inter-industry technology spillovers; (4) Increase the R & D investment of enterprises, emphasize on the absorption of FDI technology spillovers; (5) Strengthen IPR protection.