An Empirical Analysis Of FDI Technology Spillover Effect In Our Country

With the increase of FDI absorbed by China, it has become one of the debates of Chinese economics that the spillovers of FDI exist in China. Based on both theoretical and empirical analysis methods the paper attempts to evidence and explain the existence of spillovers aroused by FDI in China. The main contents are divided into two aspects:Firstly, through establishing regression model between FDI and Chinese domestic productivity, we have proved the close relationship between them. The result suggests that supposed the exchange rate and price level are unchanged, the relationship between FDI and domestic productivity reaches about 80 percent. Then this result has indirectly proved the existence of the spillovers of FDI, and the spillovers are positive. Secondly, through establishing regression model between FDI and Chinese domestic exports, we have proved the close relationship between them. The result suggests that supposed the exchange rate and price level are both unchanged, the relationship between FDI and domestic productivity reaches over 90 percent. Then this result has also indirectly proved the existence of the spillovers of FDI, and the spillovers are either positive.By establishing two different regression models and using the panel data of the developed districts in the east of China, we have proved the existence of spillovers aroused by FDI in China in the two different ways.