A Study On The Impact Of The "two Yuan" Foreign Direct Investment On China’s Service Trade Exportation

After Chinese joined WTO,outward foreign direct investment was in the rapid development of "bringing in",and gradually to "going out" change.China is the largest developing country,"gradient" outward foreign direct investment and "inverse gradient" outward foreign direct investment are coexistence characteristics of China’s outward foreign direct investment.In addition,China’s service industry has shown its irreplaceable strength in the past ten years,the proportion of China’s outward foreign direct investment in the service sector increased continuously,in the meanwhile,China’s service trade exports increased rapidly,which has attracted much attention.Based on the results of previous studies,this paper uses panel data to analyze the relationship between the two.This paper will be based on the status and characteristics of foreign direct investment and service trade in China in twenty-first Century,relating domestic and international economic theory,uses the panel data of 2003-2015 China in 35 countries direct investment to analyze the relationship between "two yuan" outward foreign direct investment and service trade exports.Through the gravity model,it has made an empirical study on the impact of China’s "two yuan" outward foreign direct investment on China’s service trade,and the samples were analyzed and compared.The results show that the "gradient" outward foreign direct investment and "inverse gradient" outward foreign direct investment increased China’s service trade exports,but the "inverse gradient" outward foreign direct investment not only increase China’s export trade in services,and can improve the service trade power of our country.The level of "inverse gradient" outward foreign direct investment can promote the use of R&D in our country,on the other hand,The enhancement of independent creativity is the real promotion of international competitiveness,promoting effect of "gradient" outward foreign direct investment on China’s service trade is strong.Thus,the "inverse gradient" outward foreign direct investment can promote the strategic of China’s service trade,but "gradient" outward foreign direct investment still be the stable and powerful support for China’s service trade in the short term.Finally,according to the empirical analysis of China’s "two yuan" outward foreign direct investment on China’s service trade,this paper focuses on our country still has 80% outward foreign direct investment flowing to developing country and China’s service exports are still concentrated in the traditional service industry,it puts forward on how to guide China’s foreign direct investment to promote China’s service trade development,and offers some macro and micro suggestions.