Heterogeneity of FDI and technological spatial interdependence in the economic growth

Gao Yuandong, Chen Xun

Science Research Management ›› 2011, Vol. 32 ›› Issue (6) : 67-74.

PDF(920 KB)
PDF(920 KB)
Science Research Management ›› 2011, Vol. 32 ›› Issue (6) : 67-74.

Heterogeneity of FDI and technological spatial interdependence in the economic growth

  • Gao Yuandong1, Chen Xun2
Author information +
History +

Abstract

There are lots of literatures on the technological spillover and the heterogeneity of FDI in economic growth. However, majority literatures ignore spatial effects in the economy. Therefore a growth model of the heterogeneity of FDI together with the technological interdependence between economies-spatial augmented solow model is developed, and a fixed-effect spatial panel estimation is conducted by using the sample of Chinese provinces over the period 1987-2007. The results indicate that (1) the technological interdependence between provinces exists and remains significant; (2) FDI's spillover effect is significantly different from domestic physical capital; (3) the economic growth between provinces is interdependent; (4) the spatial externality of FDI is insignificant in the whole country of China, but is significant in China's eastern region. The conclusion is instructive in the distribution of the domestic investment between provinces, the formulation of FDI policy, and the joint development of neighboring provinces' economies.

Key words

heterogeneity of FDI / spatial externality / technological spatial interdependence / fixed-effect spatial panel estimation

Cite this article

Download Citations
Gao Yuandong, Chen Xun. Heterogeneity of FDI and technological spatial interdependence in the economic growth[J]. Science Research Management. 2011, 32(6): 67-74

References

[1] Islam, N. What Have We Learnt from the Convergence Debate? [J]. Journal of Economic Surveys. 2003,17,309-62. [2] CEM ERTUR, WILFRIED KOCH. Growth, technological interdependence and spatial externalities: theory and evidence[J]. Journal of Applied Economic. 2007, 22,1033-1062. [3] CEM ERTUR, WILFRIED KOCH. Convergence, Human Capital and International Spillovers[J]. Working Paper. 2006. [4] 高铁梅,康书隆. 外商直接投资对中国经济影响的动态分析[J]. 管理世界,2006(4):22-30. [5] Manfred M. Fischer. A spatially augmented Mankiw-Romer-Weil model: Theory and evidence[J]. Working Paper .2009. [6] 瞿茜,苏良军. 复合FDI空间计量模型的估计——基于第三方国家影响因素的研究[J]. 数量经济技术经济研究,2009(2):88-101. [7] 符淼.外商直接技术溢出效应的空间计量分析[J]. 国际金融与投资,2009,25(4):65-689. [8] Nicole Madariaga and Sandra Poncet. FDI in Chinese Cities: Spillovers and Impact on Growth[J]. The World Economy. 2007, 01025. [9] 王剑. 外商直接投资区域分布的决定因素[J]. 经济科学,2004(5):116-125. [10] 何兴强,王利霞. 中国 FDI区位分布的空间效应研究[J]. 经济研究,2008(11):137-150. [11] Coe D, Helpman E.. International R&D spillovers[J]. European Economic Review. 1995, 39,859-897. [12] Keller W. Geographic localization of international technology diffusion[J]. American Economic Review. 2002, 92,120-142. [13] 王争,孙柳媚,史晋川. 外资溢出对中国私营企业生产率的异质性影响—来自普查数据的证据[J]. 经济学季刊,2008,8(1):129:158. [14] 陈迅,高远东.中国产业结构变动和FDI间的动态关系研究[J]. 科研管理,2006,27(5):137-142. [15] Anselin L.Spatial Econometrics:Methods and Models.Dordrecht[M], Kluwer Academic Publishers,1988 [16] Jess Benhabib, Mark M. Spiegel. The role of human capital in economic development Evidence from aggregate cross-country data[J]. Journal of Monetary Economics. 1994, 34,143-173. [17] Valerien O. Pede, Raymond J.G.M. Florax, Henri L.F. de Groot. Technological leadership, human capital and economic growth: a spatial econometric analysis for U.S. countries, 1969-2003[J]. Working Paper. 2006,9 . [18] Giuseppe Arbia, Roberto Basile, Gianfranco Piras. Using Spatial Panel Data in Modeling Regional Growth and Convergence[J]. Working Ppaper. 2005,9. [19] LeSage JP, Pace RK. Introduction to spatial econometrics[M]. CRC Press, Boca Raton, London, New York. [20] Elhorst JP. Specification and estimation of spatial panel data models[J]. International Regional Science Review, 2003, 26(3):244-268. [21] Mankiw NG, Romer D, Weil DN. A contribution to the empirics of economic growth[J]. Quarterly Journal of Economics. 1992, 107,407-437. [22] Cletus C. Coughlin & Eran Segev. Foreign direct investment in China: A spatial econometric study[J]. The World Economy. 2002,23(1). [23] E. Borensztein, J. De Gregorio, J-W. Lee. How does foreign direct investment affect economic growth? [J]. International Economics, 1998,45:115-135. [24] LAI Mingyong, PENG Shuijun, BAO Qun. Technology spillovers absorptive capacity and economic growth[J]. China Economic Review, 2006, 17:300-320.
PDF(920 KB)

Accesses

Citation

Detail

Sections
Recommended

/