Foreign Direct Investment Spillovers Hunan Manufacturing Technology Research

A lot of foreign direct capitals have poured into Hunan province that can increase the gross of capital and release the stress of imployment since 1991. Except this, the technical spillover effect of FDI is the essential effect to economic development of Hunan province in the long run. Through the the technical spillover effect, FDI can improve technical level and organizational efficiency and manage technical in Hunan province, it also can help enterprises to lead an inner-developing road. What about the technical spillover effect of FDI in Hunan province? The discussion to this question has great meaning for us when making proper FDI policies. This article makes empirical studies on the spillover effect of FDI to Hunan province by using a lot of statistics from Hunan industrial departments.The paper first reviews and combs the classical foreign capital technology spillover theories and the related empirical articles about FDI technical spillover effect; Then generalize the developing situation of FDI in Hunan including industrial and regional distribution structure, the source and entering mode of FDI; The critical part is to analyze the technical spillover effects the Hunan Province overall and inter-industrially from the industrial aspect. Through regress, the result shows that: overall Hunan Province technical spillover effect is low; Then we analyze the effect factor of the technical spillover effect of FDI, We consider the gaps of technology between domestic companies is main influencing factor of the technical spillover effect; Based on above empirical research, this article carries out policy advice to promote FDI to create more spillover effect from the view of enhancing competition and raising linkage degree.