Research On The Relation Of FDI-Input And Peasant’s Income By Chongqing City’ Historical Data

The relationship between FDI and resident income has been researched earlyby governments and scholars, who published many relevant documents or book.However, there is not nearly study of the concrete relationship between FDI andpeasant income, so this text will be launched on this, which will take Chong Qingfor example. First of all, the author will hackle the theoretical relationshipbetween FDI and peasant income, which is on the basis of now available studyabout the relation of both. Secondly, the text will dwell on situation of ChongQing’s FDI and peasant income. In this part, the author will display the relevantdata of Chong Qing’s FDI and peasant income from1997to2011. Thirdly, thistext will base on co-integration test, error correction model and Granger causalitytest about the data of Chong Qing’s FDI and peasant income during1997to2011,which shows Chong Qing’s FDI and peasant income have long-term balancerelationship, but which is only one-way casual relationship. Concretely speaking,peasant income’s increase can promote FDI inflow, but FDI inflow cannotpromote peasant income’s increase. At last, the text will offer policy proposalsaccording to the above analyses.