65 / 2015-07-22 19:38:08

Home Country Characteristics, the Investment Motivation and Total Factor Productivity ——Based on Panel Data of Chinese Manufacturing Industries

Home Country Characteristics,Investment Motivation,“Remitting-and-entering” Method,TFP

This paper chooses panel data of 39 Chinese industrials from 2001 to 2012 to investigate how much do FDI with different motives contributes to Chinese manufacturing productivity. A fixed-effects model was adopted to conduct the OLS regression and the following conclusions can be draw from the empirical results: The impacts that three kinds of FDIs have on TFP of industrial sectors vary from each other and change over time. Only the resource-seeking FDI is conductive to the growth of TFP in thecurrent period while in lagged-one-period only market-seeking FDI is positively related to TFP. On balance, the resource-seeking FDI makes the largest contributions to industrial sector’s TFP and the market-seeking FDI make relatively less. The Strategic-asset seeking FDI has significant negative influence in the growth of Chinese industrial TFP.