A Comparative Study On The Effects Of Reverse Technology Spillovers In The Yangtze River Delta And The Pearl River Delta

Against the backdrop of growing economic globalization, technological innovation of one country depends on not only domestic R&D input,but also spillovers of foreign technology, and outward foreign direct investment(OFDI) has become the main channel of gaining international technology spillovers. With China’s actively carring on "go global" strategy, the scale of our country’s outward foreign direct investment is expanding. China is transforming from the developing country who absorbing foreign capital the most to the developing country who investing abroad the most.At present,domestic scholars pay a lot of attention on studying the effect of reverse technology spillover on country and industry,but the study on region is few.In fact,our country has being experienced rapid economic development since the implementation of reform and open policy,the development of region economy is unbalanced,so this paper takes Yangtze River Delta and Pearl River Delta who have the most developed economy in China and invested abord most for example to analyze the association with OFDI and innovation.Western economist finded that,a enterprise’s capacity of absorbing、learning and imitating new technique is restricted by itself soft power and hard power,so if less developed countries want to surpass developed countries by the ways of technique acquisition and multinational investment,the first thing is to enhance themselves’ hard and soft power.This paper summarizes that the limiting factors of reverse technology spillover include human resources、economic openness、financial development、R&D capacity, and analyze the mechanism.Then,this paper use an empirical model to certify the mechanism on the basis of the data of Yangtze River Delta and Pearl River Delta,the result shows that OFDI spillover effect is weak,so enterprises should speed up "going out" pace,and enhance "going out" quality,governments should encourage enterprises to invest in high-tech industries in developed countries such as Europe and America.The result also shows that all the four limiting factors restrict the effect,and R&D capacity restricts the most,so Yangtze River Delta and Pearl River Delta should raise up the level of human resources、economic openness、financial development, R&D capacity to enhance the effect of reverse technology spillover.