Study On The Influence Of OFDI On China Green Total Factor Productivity

The report of the 19 th national congress of the communist party of China pointed out that the China's economy has changed from a stage of rapid growth to a stage of high-quality development,requiring that economic development be driven by innovation instead of factors in the past,and strive to improve green total factor productivity(GTFP).How to promote GTFP growth has become a key problem to be solved.Among the drivers of GTFP growth,Outward foreign direct investment(OFDI)is a important factor that cannot be ignored.Forty years of reform and opening up,China's economic development has been realized under the open conditions.Under the condition of open economy,in addition to import and export trade and foreign direct investment(FDI),OFDI is also an important channel to obtain foreign advanced technology and resources.Studies have shown that OFDI plays an important role in driving domestic technological innovation and promoting technological progress.Since the effective implementation of the Green development Strategy and the “going out” policy made by China,the green productivity growth effect of China's OFDI has gradually attracted wide attention from the academic community.In this context,in-depth study on the green productivity growth effect of China's OFDI has important theoretical value and practical significance.Only by clarifying the relationship between OFDI and China's GTFP can the green productivity growth effect of China's OFDI be fully exerted in the new era and the green development goals be achieved.This paper carried out analysis and research into the influence of OFDI on GTFP in China,according to the idea of “literature review and theoretical analysis-empirical analysis-suggestions for countermeasures”,this paper systematically discusses the influence of OFDI on GTFP in China.Firstly,this paper defines the concepts related to OFDI,technological progress and GTFP scientifically and accurately,and reviews the related theories and literatures about OFDI and GTFP at home and abroad.On the basis of the existing research results,under the condition of open economy,from the OFDI affect productivity and OFDI affect environmental quality mechanism both in-depth systematically discusses the influence mechanism of OFDI on the GTFP of the home country,preliminarily constructed the theoretical research framework of the relationship between OFDI and the GTFP of the home country,and it provides a solid theoretical basis for the systematic analysis of the influence of OFDI on China's GTFP.Secondly,reviews the development process of China's OFDI since the reform and opening up,and analyzes the current situation of China's OFDI.On the basis of accurately measuring the GTFP in China,and it makes a comparative analysis with the traditional TFP index,and then analyzes and evaluates the temporal characteristics,spatial differences and temporal and spatial pattern evolution of China's GTFP,and comprehensively describes the spatiotemporal evolution trend of China's GTFP.Thirdly,based on panel data from 30 provinces in China from 2004 to 2017,the relationship between OFDI and GTFP in China was tested by econometric analysis.On the one hand,from a linear perspective analyzes the influence of OFDI on China's GTFP,such as the overall impact,regional differences,long-term and short-term heterogeneity,and whether OFDI can accelerate the convergence of China's GTFP;On the other hand,from the perspective of absorptive capacity and institutional factors,the nonlinear threshold effect of OFDI on China's GTFP is tested,which provides practical basis for promoting the positive interaction between OFDI,absorptive capacity and institutional factors.Finally,on the basis of theoretical and empirical analysis,combined with the actual situation in China,this paper put forward the corresponding countermeasures and suggestions on improving GTFP and giving full play to the green productivity growth effect of OFDI,at the same time,the shortcomings of this study are evaluated,which provides a research direction for a further study on the relationship between OFDI and China's GTFP.Through the above research,this paper concludes the following main conclusions:Firstly,although China's OFDI has made great progress and gradually become a major country of OFDI,there are still some problems that cannot be ignored in the process of OFDI,such as facing international political and economic risks,relatively concentrated investment industry,and unreasonable investment location and so on.Secondly,during the sample study period,the growth of China's GTFP has declined as a whole,the reason was mainly affected by the deterioration of green technology efficiency.Considering that the unexpected output of environmental pollution,such as sulfur dioxide and chemical oxygen demand,has caused losses to the growth of TFP in China,so ignoring the unexpected output of environmental pollution will overestimate the growth of TFP in China.Both the growth rate and the development level of China's GTFP show obvious spatial and temporal differences.Thirdly,on the whole,the reverse green technology spillover effect of OFDI exists in China,which significantly promotes the growth of GTFP.OFDI is an important factor to promote the improvement of GTFP,and it can become a new driving force to promote the improvement of GTFP in China under the new era.From the perspective of mechanism,the positive impact of OFDI on GTFP is mainly achieved by driving the path of green technology progress.The results of regional test show that OFDI has obvious spatial difference characteristics on the influence of GTFP.OFDI significantly promoted the improvement of GTFP in the eastern region,but had no significant effect in the central and western regions.Fourthly,OFDI has a long-term and short-term heterogeneous effect on China's GTFP,which promotes the growth of domestic GTFP in the short term and the long term,but the driving effect is stronger in the short term and weaker in the long term.According to the convergence analysis,besides the eastern region,OFDI helps accelerate the convergence of the GTFP of the whole country as well as the central and western regions,but the growth rate is different.OFDI has a significant positive impact on the convergence of GTFP in the whole country and the three regions of east,central and west,and OFDI is an important factor that promotes the convergence of China's GTFP.Finally,OFDI has a nonlinear threshold effect on China's GTFP.Under the condition of absorption capacity,the influence of OFDI on GTFP is shown as a single threshold feature.When the level of economic development,R&D and industrial agglomeration cross the threshold,OFDI can play a positive role in promoting GTFP.Most provinces crossed the threshold of absorptive capacity;Under the condition of institutional factors,the influence of OFDI on GTFP is characterized by a single threshold.Under the condition of environmental regulation threshold,OFDI has a significant law of increasing marginal efficiency on the positive promotion effect of GTFP.Most provinces have not crossed the threshold value of environmental regulation intensity,which indicates that China's environmental regulation intensity is still small.Under the constraint of the threshold of institutional environment,only when the level of institutional environment reaches a certain threshold value can OFDI play a positive role in promoting GTFP.Most provinces have crossed the threshold of institutional environment;Combining the panel quantile model to further expand the analysis,it can be concluded that OFDI has an asymmetric effect on GTFP under different threshold conditions of absorptive capacity and institutional factors,that is to say,OFDI has different effects on GTFP at different locations.The innovation of this paper is mainly reflected in: Firstly,based on the actual situation in China and from the perspective of green development,this paper reevaluates and recognizes the influence of OFDI,which is of great reference value for promoting the growth of GTFP and realizing green development goals.Therefore,this study is innovative in the research perspective.Secondly,this paper constructs the theoretical research framework of the relationship between OFDI and GTFP of the home country.On the basis of the existing research results,under the condition of open economy,from the OFDI affect productivity and OFDI affect environmental quality mechanism both in-depth systematically discusses the influence mechanism of OFDI on the GTFP of the home country,preliminarily constructed the theoretical research framework of the relationship between OFDI and the GTFP of the home country,it has further expanded the existing research and enriched the research literature on the influence of OFDI on TFP in the home country,which has important theoretical and practical significance.Thirdly,this paper applies SBM directional distance function and Global malmquist-luenberger index to recalculate China's GTFP.This paper use DEA-SBM model based on non radial and non angle combining with GML productivity index to recalculate the GTFP and its decomposition items of 30 provinces in China.and then the paired t-test was used to compare the traditional and green TFP index,and analyze the impact of environmental pollution on the growth of TFP in China.On this basis,the temporal characteristics,spatial differences and temporal and spatial pattern evolution of China's GTFP are analyzed and evaluated from the perspective of the growth rate and development level of GTFP,and comprehensively describes the spatiotemporal evolution trend of China's GTFP.Finally,this paper empirically analyzes the influence of OFDI on GTFP in China.Based on panel data from 30 provinces in China from 2004 to 2017,this paper employs a variety of econometric analysis methods to analyzes the influence of OFDI on China's GTFP.This paper studies the overall impact of OFDI on China's GTFP,regional differences,long-term and short-term heterogeneity,whether OFDI can accelerate the convergence of China's GTFP,and the absorption capacity threshold and institutional factor threshold of OFDI on China's GTFP,in order to comprehensively and deeply evaluate and understand the impact of OFDI and get a more objective conclusion,provide scientific decision-making basis for each region to improve the green productivity growth effect of OFDI and promote the realization of green development goals.