A Study On The Effect Of China's Utilization Policy Of Foreign Investment On Promoting Industrial Upgrading

In the past 40 years of opening up to the outside world,the utilization policy of foreign investment,as a guarantee for the positive role of foreign investment,has played an important role in continuously expanding the scale,adjusting the structure and improving the quality of foreign investment.In accordance with Chinese economic development strategy at different stages of development,Chinese utilization policy of foreign investment should adjust the preferential and restrictive policies of investment attracting in time,so as to coordinate with the implementation of China's economic development strategy,so that foreign direct investment can effectively promote economic development,especially technological progress and industrial upgrading.At present,China's economy has entered a "new normal",promoting highquality economic development in the supply-side reform.Utilization policy of foreign investment is also facing a new situation of investment and new goals.Therefore,it is of great practical significance to continuously explore the correlation between the utilization policy of foreign investment and China's industrial upgrading,and to track the impact of the utilization policy of foreign investment on China's industrial structure in different periods.On the basis of combing and analyzing the influence mechanism of utilization policy of foreign investment on the industrial upgrading.This paper systematically analyzes the transformation of China's the utilization policy of foreign investment and the adjustment of key industries in different stages in the past 40 years of opening up,as well as the impact of the adjustment of the utilization policy of foreign investment on China's economic growth,industrial structure,industrial internal structure and technical level,and uses panel data from 15 industries in China and panel data from 26 industries in manufacturing to conduct empirical analysis,reflecting the impact of the utilization policy of foreign investment on China's industrial structure,the impact of technological upgrading in the manufacturing industry,and the effect on technological upgrading of industries with different technology intensities.The empirical results show that the utilization policy of foreign investment can expand the industrial scale by increasing the level of opening up of the industry,and can also restrict the industrial scale by restricting and prohibiting measures,so as to adjust the proportion of the added value of each industry in the national economic structure,so as to promote the transformation and upgrading of China's industrial structure.For example,the improvement of the opening level of the industry is generally beneficial to the technological progress of the industry.From the perspective of the degree of influence,the utilization policy of foreign investment plays a stronger role in promoting middle-tech industries than high-tech industries.In a word,utilization policy of foreign investment plays a significant role in promoting the transformation and upgrading of China's industrial structure,improving the output structure of China's manufacturing industry,and improving China's technological level.