On The Utilization Of Foreign Investment And Economic Development In Yangtze River Delta

Three major metropolitan based economic circles in China are the Yangtze River Delta economic circle, Pearl River Delta economic circle and the rounding Bohai Sea economic circle which have been remaining higher growth compared to the average level in other regions of China owing to the most outstanding talent, richest capital, and most advanced technology. Undoubtedly, this implies that their contribution to Chinese economic power will increase further. The area of the Yangtze Delta is attracting more and more eyes in the whole world already as a hot issue in the economics, academia and even international community.Centered around Shanghai, the Yangtze River Delta economic circle locates at the cross point between Yangtze River Economic Belt and the southeast coasting region. The area has a booing history of economy and culture. Now over 400 of top 500 enterprises in the world joined this Delta, which has been the strong attractive place to the world capital market, whereas foreign capitals have been contributing a lot to the regional economic development. Over the long attempting in economic reform and institutional innovation, the delta has obtained massive foundation and strong tendency in its out-looking oriented economic development.This thesis states that the trends of economic globalization and regional economic integration will provide a light for the delta to deal with the things that matter the constraint in administrative control and resources allocation. It also raises a comparative study for the Yanglze River Delta against five major metropolitan based economic circles and the Pearl River Delta as well as Bohai Sea economic circle .For the purpose of the regional economic integration and comprehensive power, utilizing foreign capitals can create trade growth effect, industrial clustering effect and job creating effect.After accessing to WTO, the governments keep pushing Yangtze River Delta economic integration in order to promote the rational disposition of the resource in three place ranges of Shanghai, Jiangsu and Zhejiang Provinces, expand the international space of Yangtze River Delta economic development and Yangtze River Delta international competitiveness.Therefore, the Yangtze River Delta cooperative way, cooperative field are being expanded constantly, the merged " 8 hour reaching economic circle " for Yangtze River Delta is indicating it has already made a great start. Because of this, how to coordinate, cooperate, interact and integrate within the circle to achieve a stronger regional economy becomes an important subject.