Research On The Impacts Of Producer Services FDI On The Efficiency Of Manufacturing Industry

In the Fifth Plenary of the 18th CPC Central Committee,our country put forward the strategic plan of "made in China 2025".And the efficiency improvement is the focus of the development of the manufacturing industry.It can't be separated from the related industries especially the producer services.Nowadays,the development of producer services can't meet the needs of the transformation of manufacturing industry in our country.Meanwhile,with the opening up of the service industry,transnational investment is growing rapidly in producer services.As for our country,the producer service FDI(Foreign Direct Investment)is increasing,from $62.99 billion in 2004 to$495.93 billion in 2015,so it has increased nearly 9 times in just eleven years.Under this background,it's of great significance to explore the effect of producer service FDI on the efficiency of manufacturing industry in China.Firstly,this paper analyzed the influence mechanism of producer service FDI on manufacturing efficiency from the angle of direct effects and indirect effects.Also it analyzed the related factors.Then,on the basis of theoretical research study,this paper constructs the measurement model by using the panel data of 2004-2014 years of 21 provinces.Especially this paper does the comparative analysis from the perspective of regional difference.The results show that:On the whole,the producer service FDI can significantly improve the manufacturing efficiency,the technical progress effect is greater than the technical efficiency effect,and the increasing in manufacturing FDI,improvement of human capital,institutional improvement can promote the impact of producer service FDI on manufacturing efficiency;Through comparative analysis of regional difference,it concluded that the effect of producer services FDI on manufacturing efficiency in three region is different,eastern get best followed by the middle,while the west don't get significant influence;The increasing in manufacturing FDI,improvement of human capital,institutional improvement have regional differences in the promotion of manufacturing efficiency by producer services FDI;Human capital has a certain threshold for manufacturing industry to absorb producer services FDI.Finally,on the basis of qualitative analysis and quantitative analysis,this paper puts forward suggestions on the use of producer services FDI to promote the efficiency in Manufacturing industry.