Research On The Trade Structure Effects Of Foreign Direct Investment

This paper based on the theory of trade and investment, perspective on home country. First ofall, study sort of foreign direct investment in the different dynamics. Then identification andanalysis of trade structure effects of factors by foreign direct investment, thus build the theoreticalanalysis framework of capital, technology, industrial structure and scale; Second, through thedefinition stage of foreign direct investment development, sort out each mechanism; Finally, takethe data of China’s foreign direct investment and trade structure for example, in determining thedevelopment phase of the premise, using multiple linear regression and panel data models,analyzing national and provincial trade structure effects, and propose effective policy proposals.Study found that:(1) Foreign direct investment is a positive effect of trade structure to homecountries, foreign direct investment, but the effects vary at different stages.(2) Home countries oftrade structure effects by foreign direct investment due to the capital, technology, industry structureand effect of scale.(3) At the same stage, different regions have different effects, the importance offactors play different roles in mechanism. Panel model shows that effects of most provinces ineastern China is positive, the capital affecting most，the western region serious differentiation,industrial structure influent most;(4) The technical elements can eliminate regional differences,effectively improve the trade structure.(5) China’s foreign direct investment is in the early of thethird stage, and the positive trade structure effect was not significant, with the deepening ofeconomic development, foreign direct investment will effectively enhance the level of China’strade structure.The proposes from this paper argues that, China should clear the stage of foreign directinvestment development, in order to strengthen policy-oriented foreign direct investment, fosternational competitiveness; guide regional cooperation to explore the concentration-style investmentmodel; increase the proportion of investment in private enterprises, and guide enterprises phased"go out " and targeted" bringing in ".Above all improve trade structure to achieve optimal levels ofeconomic development goals.