The Impact Of Trade Liberalization In Basic Telecommunication Services On The Economic Development Patterns

As a key in the process of the informatization,the telecommunication services can not only promote the intensification of its own services,but also interact with other industries,promote the dissemination of technological innovations and realize the transformation of economic development patterns.Although the government has gradually relaxed the restrictions on foreign capital entry,foreign operators have actually entered only a few and have not formed effective competition.This research determines the research objectives from previous literature and observations in reality.The empirical analysis set up a simultaneous equation that includes macroeconomic TFP equation and microeconomic equations that consider the supply,demand and output of the telecommunications services,use the adjusted fixed-effect or random-effect GMM and find the relationship between FDI impediments and overall economic development patterns.Meanwhile,figure out whether the hidden FDI impediments affect the economic development patterns.In addition to measuring the impact pattern,a two-way fixed model regression between FDI impediments and the services development approach is also conducted to figure out the impact of the elimination of FDI impediments on the development pattern of the services itself.The main findings of the study are:(1)The elimination of FDI policy impediments can increase the total investment in the telecommunications services,while the total investment in the telecommunications services will promote services output and change the services stock.Because of the two-way positive effect between the stock of the telecommunication services and the country's overall TFP,the trade liberalization of the telecommunication services can bring about intensive economic development of the country.(2)The elimination of hidden impediments has a lower value effect to the elimination of policy impediments on the country's economic development rtant for enhancing the investment of the telecommunication servcies.(3)Eliminating FDI policy impediments can not only promote the country's overall economic TFP,but also promote the contribution rate of own TFP to the growth rate of value added,bringing about an intensive approach to service development.