Study On The Difference Of Reverse Technology Spillover Effect Of Outward Direct Investment Between Areas

Since reform and opening up,our country's economy has been rapidly developed.But there are still many questions we have to think about,such as extensive mode of economic development,excessive dependence on resources,all of these are pressing for us to improve the level of production technology as soon as possible,in order to leads to the transformation of the mode of production in our country.Our chairman said in the meeting of APEC(APEC)business leaders: the economy of China is in a new norm.He thinks th at there are several key features: speed--from rapid growth to high-speed growth;structure--the economic structure is optimizing and upgrading;drive--from the elements-drive,investment-drive to innovation-drive.But compared with developed countries,there are obvious difference between the technological innovation of our country's enterprise and theirs.The key factor which affects the result of our enterprise's transformation is that they can get technology spillover effect in the international market through foreign investment,and then improve the ability of independent innovation.From the perspective of absorptive capacity,this paper studies the differences of reverse technological spillover effects between areas.After reading the studies of previous,we find that there are several factors can affect the a bsorptive capacity.First of all,we analysis that the reverse technological spillover can improve the technical level of the enterprise which invest in foreign,then the improved country technical level,and at last the national.After this we also analysis the main factors that can affect the absorptive capacity in briefly,including human capital,research and development level and economic openness.Then it brought the important factors(the level of research and development,human capital,the level of economic openness)that affect the absorptive capacity of the reverse technology spillover effect from OFDI into the model to make regression testing by using the inter-provincial panel data from 2005 to 2013 to analysis prove the reverse technological spillover effects are significantly different between the regions,and analysis the main factors that can affect the absorptive capacity.Result shows that the reverse technological spillover effects of OFDI is significant in eastern and central region,but the western region has not yet been a positive technology spillover effect.Being positive spillovers indicate the presence of a certain threshold value.To determine the threshold of eac h factor,the paper will take the three important factors(human capital,economic openness,the level of R & D level)into the model to do he threshold effects analysis.The results showed that most of the eastern region have crossed the threshold of effec t of various factors,but most of the central and western regions are failed to cross the threshold value,and thus can not obtain technical spillover effect of foreign direct investment.Finally,from the results of this paper,we can find that the result of the reverse technology spillover effect is significantly different in regions,so we give several feasible policy recommendations at last from two dimensions: the better developed east,the developing middle and west.Specifically,it includes two sugg estions in east: firstly,encouraging technology-oriented venture in foreign direct investment and increasing R&D investment;secondly,establishing scientific and perfect incentive mechanism of innovation.It also includes two suggestions in the middle and the west: the first one is enhancing investment in education in order to cultivating high-quality talents,the second one is continuing to adhere to reform and opening-up policy in order to improve the economic openness.