Effect Of The Foreign Direct Investment On The Environmental Pollution

Since China join the WTO, economic has grown unprecedented. And more and moreforeign investors begin to investment to China which is a huge potential market. At thesame time, the FDI has brought into environmental issues. After reform and openingpolicy, Hubei province take the foreign capital, and the environmental has become serious.Therefore, this paper studys the relationships between FDI and environment.This paper selects the Hubei province on the basis of the former. This paper studysthe FDI and environmental pollution in the Hubei province. And then tests the existence ofthe environmental effects of Hubei province. The results prove FDI in the Hubei provincehas been had bad environmental effects. And then this paper analyzed the scale,composition and technique effects. Results shows that the scale and composition have badeffects and technique effect. And it reduces the pollution of environment. Based the result,this paper thinks it could improve the environmental and developing of economic byadjusting the industrial structure, raising the law awareness, increasing the money aboutenvironment from government and so on.