The Empirical Studies On Macroeconomic Influence Of Host Countries On Outward Foreign Direct Investment Of China

Foreign Direct Investment is deemed to be not only a crucial approach for economic entities to involve themselves into transnational economic activities in globalization,but also one of the fundamental components constituting their economic structures.Due to increasingly intensifying overproduction internally and trade conflicts externally,it is in urgent demand that China expand its foreign investment horizon and optimize its FDI structure.In addition,it also requires the government and enterprises to select investment plan in a comprehensive perspective based on the macroeconomic environment of the host countries.Taking a global perspective,this article will be focused on empirical analysis,aiming to explore the macroeconomic impact on the China's OFDI flow by using panel data of multiple nations within a certain period.To reach a convincing conclusion,this article integrates market scale,exchange rate,financial market,monetary and fiscal policy and take various measurement models and heterogeneity among different nations into account and discovers that China's OFDI outflow is subject to a large extent to the market scale,home currency exchange rate and the financial market of the host countries receiving China's investment.Moreover,the marginal effects of those macroeconomic features varies from a nation to another.At the end of this article,suggestions have been made on how to formulate investment strategy accordingly from both macroscopic and microcosmic perspectives.