Empirical Study On Opening To The Outside World And Economic Growth Of Hebei Province

Foreign Direct Investment (FDI), import and export are usually considered as theactivator of the economic growth, the relationship among them has long been a subject ofmuch interest of international scholars. China, since the economic reform, has been activelydeveloping foreign-oriented economy and a series of policies were published to attract theforeign investment. International trade is expanding to a large scale. The value of import andexport trade is2972.76billion dollars,49.21%of GDP. The foreign direct investment hasbecome the fundamental mode of the use of external resources. In my opinion, theinternational trade and the foreign direct investment has played a more and more importantrole in domestic economic growth. Complying with the requirements of The Times, Hebeiprovince has been vigorously developed international trade, increased investments dynamics.The value of import and export trade in Hebei province is41.931billion dollars, hitting ahighest record; the actually utilized foreign capital3830.74million dollars, reaching newhighs. Owing to economics conditions and variations of regional development, the function offoreign trade and FDI promoting economic growth is different. Therefore, this paper limitsresearch region to Hebei Province, uses methods of theoretical analysis and empirical study,and establishes econometric models to carry out an in-depth study on the relationship amongforeign trade, FDI and economic growth in the Hebei province. Aim to explore therelationship of the international trade, foreign direct investment and economic growth inHebei province, and give some advice for Hebei province.This paper consists of five parts: The first is the introduction, describing the backgroundand significance of topics, research ideas, and innovation and shortage of this paper; Thesecond part is the theoretical part, summing up the theories about the foreign trade、foreigndirect investment and economic growth, analyzing the current situation of the relating study athome and abroad systematically; the third part is the situation analysis, analyzing the presentsituation of foreign trade and foreign direct investment in all domains; the fourth part is anempirical analysis, researching the relationship of the foreign trade and foreign direct investment and the GDP of the Hebei empirically, obtaining the foreign trade and foreigndirect investment are conducive to economic growth in Hebei province by analyzing, but theforeign trade has a greater role. The last part is conclusion and recommendations, for theempirical results, putting forward some suggestions, and hoping these can play a certain rolefor the economic development of Hebei.