Sustaining growth in China's regions through FDI

Ping Zheng; Pamela Siler; Gianluigi Giorgioni

doi:10.1504/WREMSD.2006.009073

Sustaining growth in China's regions through FDI

Ping Zheng, Pamela Siler, Gianluigi Giorgioni

Research output: Contribution to journal › Article

6 Citations (Scopus)

Abstract

This paper focuses on the impact of Foreign Direct Investment (FDI) on regional economic growth in China by using an extended production function model. Panel data are employed at the province level across 29 provinces over the period 1985–1999. Provinces are then split into three macro-regions. The empirical results indicate that FDI has contributed to economic growth in all three macro-regions of China. From a policy perspective, our results suggest that the Chinese government should provide preferential policies to attract and increase FDI inflows into the vast western region. This would help maintain the country's growth rate and further its economic development.

Original language	English
Pages (from-to)	4-22
Number of pages	19
Journal	World Review of Entrepreneurship, Management and Sustainable Development
Volume	2
Issue number	1/2
DOIs	https://doi.org/10.1504/WREMSD.2006.009073
Publication status	Published - 2006
Externally published	Yes

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Zheng, P., Siler, P., & Giorgioni, G. (2006). Sustaining growth in China's regions through FDI. World Review of Entrepreneurship, Management and Sustainable Development, 2(1/2), 4-22. https://doi.org/10.1504/WREMSD.2006.009073

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abstract = "This paper focuses on the impact of Foreign Direct Investment (FDI) on regional economic growth in China by using an extended production function model. Panel data are employed at the province level across 29 provinces over the period 1985–1999. Provinces are then split into three macro-regions. The empirical results indicate that FDI has contributed to economic growth in all three macro-regions of China. From a policy perspective, our results suggest that the Chinese government should provide preferential policies to attract and increase FDI inflows into the vast western region. This would help maintain the country's growth rate and further its economic development.",

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AB - This paper focuses on the impact of Foreign Direct Investment (FDI) on regional economic growth in China by using an extended production function model. Panel data are employed at the province level across 29 provinces over the period 1985–1999. Provinces are then split into three macro-regions. The empirical results indicate that FDI has contributed to economic growth in all three macro-regions of China. From a policy perspective, our results suggest that the Chinese government should provide preferential policies to attract and increase FDI inflows into the vast western region. This would help maintain the country's growth rate and further its economic development.

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10.1504/WREMSD.2006.009073