Research On Yangtze River Delta Environmental Pollution In Utilization Of Foreign Capital

Since reform and opening, China’s utilization of foreign direct investment have been expanding continuously and the level of utilization of foreign capital also improved, foreign direct investment has become an important factor in the promotion of economic growth and expanding employment. Especially Yangtze River Delta region as the forefront of reform and opening relies on its own advantages, and vigorously attracts foreign investment, takes full use of its advanced technology, equipment and management experience, makes rapid economic development. However, the influx of foreign capital has played a positive role in promoting China’s economic growth, at the same time, FDI has also brought a lot of environmental problems of uncertainty. While fully affirming the positive FDI effects, we cannot ignore the negative side.Yangtze River Delta regional is one of the important regional economic development areas has made considerable progress in improving the quality of foreign investment and optimizing the structure of foreign investment, and its share of FDI tops among the nation. But we need to pay attention, as the FDI growth and economic development, Yangtze River Delta region has also undergone a change in environmental quality,"three wastes" emissions overall increase in pollution levels increased. So, whether environment changes has a close link with the FDI, and which contact has become an urgent need to solve the problem, the answer to this question is conducive to foreign investment in improvement the quality of the Yangtze River Delta region and the achievement of sustainable development.The paper takes the Yangtze River Delta region as the starting point, makes in-depth analysis the status of foreign capital utilization and environmental pollution problems. The research has important practical significance in attraction foreign investment to improve the quality and coordination of the development of the ecological environment for the Yangtze River Delta region. For in-depth analysis between FDI and environmental pollution problems, this paper is divided into six parts, in accordance with the contents are the introduction, relevant theoretical basis, the reasons for using foreign investment analysis based on environmental pollution in the Yangtze River Delta, the Yangtze River Delta utilization of foreign investment and the environment pollution Empirical analysis and suggestions.The first part of the paper briefly describes the research background, purpose and meaning, research status, main content and innovation.The second part describes the theoretical basis associated with FDI and the environmental pollution."Environmental haven" hypothesis in the classical theory of international trade on the basis of the HO theory, illustrates the optimal allocation of production factors include transnational environmental factors, so it is an important element of the resources to analyze."Competition in the end hypothesis" is on the based of "pollution haven hypothesis", it considered due to different countries or regions in different environmental performance standards, resulting in foreign direct investment increasing environmental pollution caused by the host country. Product life cycle theory explains changes in the product life cycle industrial transfer phenomenon, reflects the dynamics of foreign direct investment in the formation process. Marginal industrial expansion points that the foreign direct investment in the investing country should have been from their own or will be at a comparative disadvantage in the industry transfer to the host country has a comparative advantage. As a result, the domestic industry can not only make a more rational structure, promote their development of foreign trade, but also conducive to the adjustment of the host country industries, promote the labor-intensive industries development of the host country, however may have a certain impact on the ecological environment of the host country.The third part describes the Yangtze River Delta FDI and environmental issues from a theoretical point of view. This chapter summarizes on the existing research results from FDI size, structure and technology to explore the three angles of foreign direct investment on China Yangtze River Delta ecological impact. Analysis showed that the scale of FDI impact on the ecological environment can be described by EKC curve; Structure of FDI impact on the ecological environment showed that the three industries the impact of environmental pollution levels is different, in which the second most polluted industrial environment; FDI Technical impact on the ecological environment is positive, FDI can bring about the introduction of technology, thus improving the environmental quality of the Yangtze River Delta region.The fourth part analyzes the Yangtze River Delta utilization of foreign investment and environmental pollution Empirical relationship. The paper through a large number of data collection, uses econometric knowledge, takes stationary test and Granger test on the data, uses Eviews software made "three wastes" a linear regression,the results show that FDI and the "three wastes" has significant direct linear relationship.The fifth part puts forward countermeasures and suggestions on the Yangtze River Delta use of foreign capital and environmental development. The paper makes recommendations from of major laws, standards, policies, mechanisms, and supervision and macro level to ensure utilization of foreign capital and the coordinated development of ecological relationships.