A Study On The Mechanism And Guide Policies Of Ndustrial Agglomeration Induced By The Location Choice Of FDI

The thesis studies on the function of FDI in inducing and promoting industrial agglomeration, and researches on the mechanism of industrial agglomeration induced by the choice of the location of FDI. It frames a metrological model according to theoretical knowledge and analyzes the data with Eviews6.0, taking Shanghai and Chongqing as examples. It also puts forward guide policies according to the conclusions of empirical research.The thesis adopts methods of both theoretical analysis and empirical research. For theoretical analysis, basing on the up-to-date findings, it discusses the mechanism of industrial agglomeration induced by FDI. Firstly, it explains the relationship of multinational corporation’investment and the degree of industrial agglomeration. Secondly, it analyzes how FDI induces industrial agglomeration based on the vertical specialization of production of multinational corporations. Thirdly, it articulates the basic approach and specific modes of FDI inducing industrial agglomeration. Lastly, it introduces the counteraction of industrial agglomeration on FDI and the circular cumulative mechanism of them.For empirical research, it makes an economic model based on relative theories, and then it takes the data panel of29subdividable manufacturing industries from2001to2011in Shanghai and Chongqing for examples and launches an empirical research with Eviews6.0. On one hand, it describes the accounts, influxes, sources, and flow directions of FDI from2001to2011. and calculates the specialization rates and industrial agglomeration indexes. On the other hand, it does a regression analysis of the cross section data of2011using the least square method. It also does the regression analysis with the data panel of the two regions after stationarity test, cointegration test and the Granger Causality Test, in order to demonstrate the inducing function of the location choice of FDI on agglomeration of manufacturing industries.The conclusions are as follows.(1) FDI and industrial agglomeration in the six chosen industries in Shanghai and Chongqing have a long-range and stable relationship; FDI has an inducing function on industrial agglomeration, especially in the long term; manufacturing industrial agglomeration also affects FDI, but this effect is not so obvious.(2) According to the regression analysis of data panel, FDI affects industrial agglomeration in both Shanghai and Chongqing, especially in Shanghai. As for subdividable industries, the effects are different from each other.The thesis puts forward several guide policies.(1) Promote the quantity and quality of FDI.(2) Cultivate economic growth poles to encourage industrial agglomeration.(3) Accelerate the function of FDI on inducing industrial agglomeration so as to improve the local economy and competitive power. Detailed advises are as follows. The local government should pay attention to the function of FDI; strengthen the settlement desire of multinational corporations; enhance the innovative capabilities of corporations; introduce into advanced industries to drive the upgrade and optimization of industrial structure; develop small companies and backbone industries and complete the supporting facilities.