Research On The Reverse Technology Spillover Effect Of China’s Outward Foreign Direct Investment

With the level of economic development increasing and process of integrating into theglobal market accelerating, China has mainly passed from the stage of "foreign investment inChina" to the stage of "foreign investment in China and foreign investment of China". As tothe lateral comparison, foreign direct investment of China, compared with using foreign directinvestment in China, is a small scale. But as to the longitudinal comparison, China’s foreigninvestment scale expands rapidly, not only remain increasing in recent10years, but also forma more diverse. What’s more, the OFDI’s meaning get rich, and OFDI improve the level, thenthe reverse technological spillover reverse also gradually become apparent. However, due to alate start of China’s foreign direct investment on the reverse technology spillover effect, theresearch is focus on foreign direct investment’s technological spillover effects on China, oftenneglected the technological spillover effects in foreign direct investment of China. Therefore,we put foreign direct investment and technological progress into an analytical framework forthe study, which can better play a role in China Foreign direct investment effects to arise thetechnological progress, and promote China’s economic growth.Looking back to the theory of OFDI separately and the empirical research on therelationship between OFDI and technology progress in homeland, and combined with anoverview of the current international direct investment, foreign direct investment of Chinaimpacting on home country has carried on the research and analysis in this paper. The paperresearch whether the foreign direct investment of China is good for the domestic economicdevelopment or not from the technical point, and results show that the OFDI of China has animportant role on promoting China ’s economic development, as well as the progress oftechnology. However, the effect is not obvious up to now, then the paper put forward theconcrete countermeasures to solve the China’s FDI problems.