| Since the start of the reform and opening-up era, the inflow of a large number of foreign direct investment has played an important role to the rapid development of China's economy. The inflow of the large-scale foreign direct investment impels the rapid expansion of scale of domestic investment and stimulates the growth of domestic economy directly. Foreign direct investment has also brought extensive demonstration effect. Through its demonstration effect in market competition and system innovation, foreign direct investment has an important positive effect on enhancing efficiency of resource deployment. How deep affect will foreign direct investment especially foreign business's research and development investment emerge for China's technological development and technological promotion and in which way foreign investment's technology spillovers' influence domestic enterprises have been the subject closely concerned by academe in recent years.On the basis of reviewing study conditions of multinational corporation's R&D investment technology spillover effect, this paper chooses electronic and communication device manufacturing industry as the case and has the empirical study for the technology spillover effect of multinational corporation's investment in China. The empirical analysis reveals: although inflow of FDI has positive spillover effects on electronic and communication equipment industry on the whole, R&D investment by foreign businesses can not significantly enhance the technical level of domestic firms within this industry. This is mainly because technologies used by research and development institutions of multinational corporations in China are generally not the most advanced and technology level and absorption capabilities of local firms are not high. Thus, the positive spillovers are mainly resulted from demonstration effects and skilled labor turnovers of the multinational corporations' research and development investment. At last this paper puts forward corresponding Countermeasures and proposals on how to promote the technology spillover effect of multinational corporations' research and development investment in China.This paper's renovation is: on the basis of predecessors' research specially choose the electronic and communication equipment industry in which Multi-national Corporation's R&D investment is more active and technology intensity is higher as the subject to have analysis and empirical research. At the same time this paper respectively selects foreign business's output value, annual employment number, fixed assets' end value, number of foreign R&D institutions and number of foreign business as the variable to have regression analysis. Consequently it can more comprehensive reflect technology spillover effect of multinational corporations' R&D investment. The weaker points of the paper are: this paper just has an empirical inspection of technology spillover effect inner the industry and doesn't analyze the cross-industry technology spillover effect. The reasons are that R&D investment of multinational corporations' in China is a new phenomenon and I am lack of systematic statistics and some industry data are not available. So I will have further study in the future. |
