Import Trade Spillover Effects Of China's Manufacturing Technology

As a foundation of national economy, manufacturing industry plays an important role in promoting the development of our national economy. Based on the new growth theory and the new trade theory, this paper makes an empirical study on the effect of foreign R&D conducted by the import trade to the technological progress of manufacturing industry.First, this paper systematically analyzes the mechanism and factors of international technology spillovers on the basis of the earlier theoretical and empirical research, and then makes a further exploration into the relationship between trade and growth in developing economics. Empirical analysis referred to Coe and Helpman as a detailed description of the C-H model on which we base our discussion. This paper constructs a regression equation, using total factor productivity as a dependent variable, R&D input of manufacturing industry and R&D input of import source countries as other two variables. Using C-H model and related data, this paper has done an empirical study on the situation of developed countries' R&D spillovers to our country manufacturing industry and calculated the exactly spillovers .It finds that through imports of technology, a developing economy can boost its productivity,have larger stocks of knowledge and improve its innovation mechanism.And then, by introducing the variable of human capital, input of domestic R&D, openness of trade into the C-H model, this paper tests the effect of these three variables on the technology spillovers caused by import trade. The empirical results show that the human capital can promote the spillovers, while the input of domestic R&D has a negative effect on the spillovers. Meanwhile, the trade openness does not help to promote the international technology spillovers caused by import.At last, according to the condition of the low absorbing capacity and the current technology development of the manufacturing industry, this paper puts forward some policy advisements, such as using probable openness, optimizing the trade product mixture, and raising domestic R&D investment level and human resource level.