An Evaluation and Comparison of Quality of Utilizing FDI in Different Manufacturing Industries
FU Yuan-hai1 , SHI Yan-xin2
1.School of Economics and Statistics, Guangzhou University, Guangzhou 510006, China; 2.Jiangxi University of Finance and Economics, Nanchang 330013, China
Abstract:
By factor analysis method, the paper evaluates and compares quality of utilizing FDI with 12 indexes in 29 manufacturing industries and finds that quality of utilizing FDI is higher in technology-intensive industries and lower in resources-intensive industries; characteristics of quality of utilizing FDI are not obvious in labor- intensive industries. Analyzing the factor loading and the structure of quality of utilizing FDI, it shows that quantitative contribution of FDI to industrial development is mainly the determinants of quality of utilizing FDI, contribution of FDI to institution and technology and management play an important role in quality of utilizing FDI ,but the effect of FDI on economic quality is not clear. Therefore we think that modes of using FDI are quantity-type rather than quality-type, namely, the overall quality of using FDI is low. Level of using FDI is a critical factor for the quality of utilizing FDI in industries. Foreign-funded enterprises control the technology and has reduced the localization extent of the output, which is the decisive causes for the quality of utilizing FDI to be low.
FU Yuan-hai , SHI Yan-xin.An Evaluation and Comparison of Quality of Utilizing FDI in Different Manufacturing Industries[J] Economic Survey, 2014,V31(1): 50-56