A Study On Productivity Effects Of China's OFDI Under The Perspective Of Knowledge Spillover Constraints

After the implementation of the “go abroad” strategy,China's outward foreign direct investment(OFDI)has made tremendous development and become the second largest foreign investor in the world.Therefore,more and more scholars concern about this issue and also conduct research on related fields.However,most of these scholars focus on the measurement of productivity effect directly,and ignore the relationship between productivity growth and knowledge spillover.Currently,measure methods for knowledge of OFDI spillover effect are limited.In view of this,this dissertation measures China's access to international knowledge spillover and includes it in the research framework by using the spatial knowledge spillover model.Based on aforementioned analysis,the productivity of OFDI is discussed under the restriction of knowledge spillover effect.Compared with the productivity of OFDI,which is not measured with the constraint of knowledge spillover effect,this dissertation analyzes the characteristic facts of the differences and explains how knowledge spillover constraint impacts on the results.Furthermore,this dissertation tries to reveal the productivity of China's OFDI from the perspective of knowledge spillover constraint effect.Originally,this dissertation analyzes overall situation of China's OFDI development and finds out even though there is a steady annual increase of the China's OFDI,the ratio and size are still very small with a comparison to the developed countries.The investment structure is also not reasonable for over 80% of the investment in the host country is concentrated in developing economies.Besides,the industry distribution is also highly concentrated,and the service industry becomes a key industry for OFDI.Theoretically,this dissertation analyzes knowledge spillover effect of the knowledge seeking OFDI by setting up theoretical model.Based on the new growth theory model,this dissertation abstracts the knowledge seeking OFDI from the international investment.In order to explain the knowledge spillover effect,this dissertation uses the knowledge seeking investment equation in the qualitative model.It turns out that knowledge seeking OFDI can facilitate developing countries root in the knowledge intensive areas in developed countries as they gain more opportunities on technology exchange,and it also provide a higher platform to study on initiative research.Through comparative static analysis methods,this dissertation analyzes the impact of different policies on the result of the model.It is found those international investment restrictions and too many intellectual property rights protection policies would hinder technological progress and reduce the economic benefits.It is not feasible for developing countries without technical advantages to explore the devilment of knowledge seeking OFDI or obtains knowledge spillover.Market size and higher wage rate of enterprises in developing countries play an important role in promoting OFDI.Empirically,this dissertation calculates the total factor productivity change of each industry segment on the basis of panel data of the entire industry in China at the very beginning.The result reflects that although overall China's productivity is increasing,there exists big industry heterogeneity.Secondly,this dissertation forms a correction model of the international knowledge ability of knowledge spillover based on space honeycomb model and calculates international knowledge spillover effect the China get from 18 major countries in the world.Finally,this dissertation carries out empirical test of international knowledge spillover effect through the analysis of characteristics of host country factors.The results shows that the higher the level of innovation and economy of the host country,the more obvious the knowledge spillover effect.Similarly,the more protection of intellectual property in the host country,the more restricted the knowledge spillover effect will be.Thirdly,this dissertation re-estimates the productivity effect of China's OFDI in three different knowledge spillover situation after the general inspection of productivity effect of China's OFDI.The study reflects that there is bigger and more obvious impact of OFDI on the improvement of productivity under the knowledge spillover constraint.Any OFDI can result in the development of China's technology and productivity no matter choosing which plan in the frame of the productivity research.However,the productivity effect of OFDI is reflected on the impact of OFDI,not the size of OFDI.That is,the bigger the reversed knowledge spillover effect,the greater the productivity increases,and the more obvious that only turn to knowledge seeking OFDI in developed countries can significantly increase in productivity in China.Based on aforementioned theoretic and empirical analysis,this dissertation puts forward corresponding policy implications.It has important practical significance to choose host countries and industries for China's OFDI with the guidance of “going abroad “and “the Belt and Road” strategies.