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FDI Spatial Spillovers in China

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  • Lin, Mi
  • Kwan, Yum K.

Abstract

This paper studies FDI spatial spillovers in China. Empirical investigation reveals that, along the spatial dimension, FDI presence tends to generate negative intra-regional spillovers that dominate other potential positive externalities. The direction, magnitude and scope of inter-regional spillovers vary, depending on the spillover channels. Our empirical findings call for a rethinking of policy-driven agglomeration among indigenous firms and MNEs in developing countries.

Suggested Citation

  • Lin, Mi & Kwan, Yum K., 2014. "FDI Spatial Spillovers in China," MPRA Paper 60754, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:60754
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    File URL: https://mpra.ub.uni-muenchen.de/60754/1/MPRA_paper_60754.pdf
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    References listed on IDEAS

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    More about this item

    Keywords

    FDI spillovers; Spatial diffusion; Firm Agglomeration; China;

    JEL classification:

    • F2 - International Economics - - International Factor Movements and International Business
    • F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance
    • F6 - International Economics - - Economic Impacts of Globalization

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