Study On Trade Effect Of Zhejiang Province On Overseas Investment Empirical Analysis Based On Enterprise Data

Since 20 th century,the pace of Chinese companies "go out policy" has been accelerating along with the rapid development of China's economy as well as the world economic integration.As one of the two important ways for a country to actively participate in world economic activities,the importance of foreign trade and foreign direct investment has become increasingly evident.The study on the relationship between the two part have become one of the most important topics in the economics community.From the initial foreign trade to the direct investment abroad,China is continuously integrating itself into the role of international division,and giving play to its comparative advantages and competitive advantages.As a major trade province,the foreign direct investment scale has more significant influence in import and export trade in Zhejiang province.First of all,this paper use the data from 2001 to 2015 to study the overall impact of foreign direct investment in Zhejiang province on import and export trade with Eviews and Stata measuring software.The results indicate that the OFDI?FDI and GDP have the accelerating effect of export.Otherwise,the stock of OFDI substitute for exported goods.Secondlly,this paper combines enterprise database and OFDI database of Zhejiang to investigate the import and export trade effect of foreign direct investment by Chinese enterprises by using multiple regress models.It comes to a conclusion that investing to developed country and emerging economies will decrease export trade flows for these countries and had no significant influence on import trade flows.Results indicate that the direct investment of our province to these countries is still based on the breakthrough and avoidance of the trade barriers of host countries,but to rich in resource countries and emerging economies will increase import and export trade flows,with significant trade creation effects.Finally,on this basis,draw conclusions and put forward some suggestions to further develop the foreign direct investment in Zhejiang Province to promote foreign trade.