The Contribution of Foreign Direct Investment to China's Export Performance: Evidence from Disaggregated Sectors
AbstractThere has been a long debate in the theoretical and empirical economic circles on how host country's exports respond to inward foreign direct investment (FDI). This paper examines whether FDI stimulates export performance of the recipient countries using the case of China. It contributes to the literature by investigating the relationship of FDI and export performance using disaggregated manufacturing sectors from 1995 to 2005. The empirical results suggest that FDI flows into China have statistically significant and positive effects on its exports and it exhibits differences across sectors.
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Bibliographic InfoPaper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida with number 6453.
Date of creation: 2008
Date of revision:
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export performance; foreign direct investment; China; panel data; International Relations/Trade; F21; F14; C33;
Find related papers by JEL classification:
- F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-11-18 (All new papers)
- NEP-CNA-2008-11-18 (China)
- NEP-INT-2008-11-18 (International Trade)
- NEP-TRA-2008-11-18 (Transition Economics)
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