Distribution Characteristics And Influencing Factors Of Regional Foreign Direct Investment In China

In recent years,with the gradual improvement of the market economy system,the number of foreign direct investment in China has been increasing.In 2017,the amount of foreign direct investment in China was as high as 131 billion 40 million US dollars.The introduction of foreign direct investment not only solved the problem of shortage of capital in China at the beginning of the reform and opening to the outside world,but also because of foreign direct investment,it generally has more advanced technology,has a strong effect on economic and social spillover,and can promote the overall development of economy and society.However,there is a great difference in the amount and distribution of FDI in China,and the difference in the introduction of foreign direct investment between regions will cause the imbalance of economic and social development.Therefore,it is of great significance to study the distribution status and influencing factors of interregional FDI.First of all,this paper makes a comparative analysis of the distribution status of FDI in China,including the characteristics of the amount and industry,and finds that there are great differences in the foreign direct investment in China.Specifically,from the amount of foreign direct investment,there are great differences in the introduction of foreign direct investment between the three regions of East,middle and west regions in China and between the provinces and regions.The eastern provinces and regions are in the absolute leading position,while the provinces and regions in the middle and Western Regions are in relative inferiority;and the industry distribution of foreign direct investment is special.As a result,FDI inflows into technology intensive industries in the eastern provinces,while the provinces in the middle and western regions are more inflow into labor intensive and capital intensive industries.Secondly,the article explains the theoretical mechanism of Internet popularization and local government competition on China's FDI.On the one hand,the Internet popularization is beneficial to the economic subject to master the relevant market information before the contract is signed,on the other hand,it can also reduce the cost of the foreign direct investment enterprises as "contract persons" to supervise the transaction after the contract is signed,and reduce the limited rationality and machine of the foreign direct investment enterprises in the business activities.The deviation of optimal choice caused by opportunistic behavior can reduce transaction costs of foreign direct investment and enhance the attractiveness of regional FDI.And under the current mechanism of economic growth as the main assessment standard of official achievements,local officials are actively competing for foreign direct investment as the high quality resources of economic growth,increasing the profit space of foreign direct investment and attracting foreign investors to invest in the region.On the basis of the theoretical research,the paper uses the inter provincial panel data model to test the influence of Internet popularization and local government's competition on foreign direct investment.The empirical results show that Internet popularization has a significant positive impact on foreign direct investment.In order to achieve regional economic development and strive for self promotion,local officials are taking competitive means to direct foreign direct investment,and the role of tax competition in the three competitive means is stronger.Among the control variables,the social and economic factors such as industrial structure,human capital and industrial agglomeration have a significant effect on foreign direct investment,but the level of economic development has not significantly affected the interpretation of foreign direct investment.In view of the above conclusions,the last part of the article is based on the two perspectives of Internet popularization and local government competition,and combined with the relevant research of the article.In order to promote the balanced development of foreign direct investment in China,the relevant policy suggestions are put forward: first,the local government should strengthen the soft environment at the same time,and strengthen the soft environment.Environmental construction will promote the introduction of high quality foreign direct investment.Secondly,we should further improve the network popularization rate,reduce the regional differences of network popularization and promote the regional equilibrium of foreign direct investment introduced.Finally,we should actively promote the promotion of population quality,promote the upgrading of industrial structure,and promote the introduction of foreign direct investment.Double improvement of quantity and quality.