A Study On The Domestic Employment Effect Of China's Direct Investment In ASEAN

With the continuous expansion of C hina's outward foreign direct investment,(OFDI),OFDI will have an increasingly important influence on C hina's economy.At the same time,employment is the foundation of people's livelihood.Due to the increasingly complex economic environment at home and abroad,the employment problem in our country is becoming more and more serious.Therefore,in view of our country "the trend of foreign direct investment scale expanding" and " the current grim situation of its domestic employment ",this paper is devoted to from the employment level of China's direct investment to ASEAN on its domestic employment and the different motivation effects,and try to answer the following questions: whether China's OFDI to ASEAN will affect its e mployment or not? If yes,is it positive or negative? And how the effects of different investment motivations differ?To solve the problems above,first of all,the paper arranged the relevant literature about the domestic employment effect of OFDI,then,discussed transmission mechanism that OFDI made effect on home country's employment through domestic factors input and trade with the help of related theory.According to the description of 348 m&a cases of China's direct investment in ASEAN from 2001 to 2012 by Thomson Reuters SDC Platinum database.Secondly,it made a realistic analysis on the development of direct investment and domestic employment of ASEAN.Thirdly,the paper constructed the measurement model through mathematical analysis,with statistics related to the industry of C hina's direct investment in ASEAN and domestic employment of China between 2007 and 2016,with the help of Stata14,gave the system GMM a nalysis and simple regression analysis to domestic employment effect of the overall direct investment in ASEAN and five different investment motives.The paper mainly introduced the following conclusions: First,OFDI affect domestic employment through dome stic factor input and foreign trade.Secondly,the mechanism of different motives of OFDI affected domestic employment is different.Thirdly,C hina's direct investment in ASEAN will replace domest ic employment in the short term,but it will significantly p romote the increase of domestic employment in the long term.The fourth,the direct investment of different motives of ASEAN has significant difference in employment effect in China.