| Foreign direct investment (FDI) is the complex including capital, knowledge and technology. Many studies at home and abroad show that foreign direct investment has an affect on host countries’economy through its capital and technology and so on. Foreign capital inflow will enhance the region’s industrial competitiveness and capacity for sustainable development. Since1980s, many scholars in China began to pay attention to the impact of massive inflow of foreign direct investment on China’s economy. Now, in the development process of our economy, foreign direct investment has become a very important element.Meanwhile, the phenomenon of industrial agglomeration is also caused the attention of scholars worldwide. Industrial agglomeration refers to the phenomenon of industrial activities concentrating in a particular geographical space. As trends of economic globalization and information are becoming strong nowadays, the elements and division change in different levels, and they increasingly concentrate in certain areas. Similar or related industries agglomerating in a region has become one of the basic features of industrial organization in the world. Traditional industries and high-tech industries both play an important role in enhancement of industrial competitiveness and regional economic development. This is because industrial agglomeration can create more opportunities for innovation, enterprises will be more easily to get closer to the market, the spillover effect between enterprises will become greater, which will reduce the learning cost of enterprise and promote economic development. The role of equipment manufacturing industry in a country’s economic development is particularly important. It is the core industry in manufacturing industry, and is basic industry in one country’s industrial development. Besides, the ties between equipment manufacturing industry and other industries are close. At present, China’s equipment manufacturing industry concentrates in four regions, that is Yangtze River Delta, Pearl River Delta, Northeast China(Shenyang as the center), Southwest China (Chengdu and Chongqing as the center). Meanwhile, transnational corporations invest more and more capital in equipment manufacturing industry in China. In2007, foreign direct investment in equipment manufacturing industry is722.421billion RMB, and its share is31.53%in Paid-in capital.Since FDI and equipment manufacturing have an important role in one country’s economy development, for one country how to gathering more effective use of foreign investment, and promoting regional economic development, researches about the impact of FDI on equipment manufacturing industry will undoubtedly have great significance. Unfortunately, however, the literature concern relationship between FDI and regional industry agglomeration is relatively less, most of which focus on location choice of FDI. Basically, research object of the relative literature is the2-digit sub-classification of manufacturing industries, so there is virtually no literature studying equipment manufacturing industry. In addition, Existing literature basically didn’t distinguish different places in China, so the result can not be comprehensive. Besides, frankly speaking, empirical analysis is objective, so many of current literature use empirical analysis. But less literature, which study the impact of FDI on industrial agglomeration, use the method of empirical analysis. Even some articles use empirical analysis, but they adopt panel data of industry, and they select model form without testing. The results are prone to bias. For these limitations, this article first selects four provinces from agglomeration centre, and uses panel data from2001-2008as study object, then select the appropriate panel model by F test and Hausman test to analyze the impact of FDI on equipment manufacturing industry agglomeration, expecting drawing some useful conclusions. This article includes the following sections:The first chapter is an introduction, which sets out research background, research status at home and abroad, research ideas and methods, the article framework;The second chapter focuses on theoretical analysis. This part first describes the concepts of foreign direct investment, equipment manufacturing industry and industrial agglomeration, then elaborates foreign direct investment and agglomeration theory, finally analyzes the impact of foreign direct investment on industry agglomeration from the aspects of capital, scale, market space, employment opportunities and regional technology level in the industrial cluster.The third chapter first briefly introduces measure of industrial agglomeration in current literature, for example, industry concentration index, the Gini coefficient space, location entropy index. Second, combined with agglomeration trend of world equipment manufacturing industry since1990s, the article analyzes the importance of industrial agglomeration in the development process of equipment manufacturing industry. Third, based on analysis and comparison of equipment manufacturing industry in the four provinces, the article describes agglomeration situation of equipment manufacturing industry in four provinces and specific seven industries of equipment manufacturing industry by location entropy index. Data shows that industrial agglomeration exits in four provinces basically, and agglomeration level is higher in Jiangsu and Guangdong provinces. From the aspect of specific seven industries of equipment manufacturing industry, agglomeration situation is different among four provinces. Except manufacture of transport equipment, other six industries’agglomeration in Jiangsu province is very strong. In Guangdong province, agglomeration level of manufacture of communication equipment, computers and other electronic equipment, manufacture of measuring instruments and machinery for cultural activity and office work, manufacture of electrical machinery and equipment, manufacture of metal products is obvious, but location entropy index of other three industries is less than1. In Liaoning province, agglomeration level of manufacture of general purpose machinery, manufacture of special purpose machinery, manufacture of transport equipment, manufacture of metal products is higher, but agglomeration situation of other three industries is weaker. As for Sichuan province, except manufacture of special purpose machinery and manufacture of general purpose machinery, location entropy index of other five industries is less than1.The fourth chapter is the empirical part. First, the part illustrates data source, then this part describes related variables, and then this chapter selects the fixed effects model form to analyze the impacts of FDI on equipment manufacturing industry after filtering out the hybrid model and the random effects model through F test and the Hausman test. The fifth chapter first analyzes regression results. Results showed that FDI plays an important role in the equipment manufacturing industrial agglomeration, and its impacts are positive. In addition, the roles of market size and path dependence are also obvious in promoting agglomeration of equipment manufacturing industry. Besides, the article points out impacts of FDI on industrial agglomeration are different due to differences in the economic environment. Finally, this part puts forward some policy recommendations according to the results of empirical analysis;Chapter VI is the conclusion part, which summarizes the main conclusions of this article and points out the limitations and further research directions. |
PDF Full Text Request