IDEAS home Printed from https://ideas.repec.org/a/mes/chinec/v37y2004i1p62-84.html
   My bibliography  Save this article

Utilization of Foreign Capital and Economic Growth in China

Author

Listed:
  • ZHANG TAO

Abstract

Since China's open-door policy was initiated in late 1978, there has been rapid increase in the numbers of foreign investors and foreign capital flows to China. The growing trend of foreign investment has been magnified by the improvement of economic circumstances and market-oriented economic development. This paper first reviews the history of the general situation of utilizing foreign capital in China, and then analyzes the important role of the utilization of foreign capital on China's economy. We use cointegration analysis and an error correction model (ECM) to identify the contribution of foreign investment to China's economic growth, and point out the negative effects of using foreign capital, which have implications for China's economic policy.

Suggested Citation

  • Zhang Tao, 2004. "Utilization of Foreign Capital and Economic Growth in China," Chinese Economy, Taylor & Francis Journals, vol. 37(1), pages 62-84, January.
    • Handle: RePEc:mes:chinec:v:37:y:2004:i:1:p:62-84
    as

    Download full text from publisher

    File URL: http://mesharpe.metapress.com/link.asp?target=contribution&id=XXAJKAP82T4MKUJ9
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:chinec:v:37:y:2004:i:1:p:62-84. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MCES20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.