Research On Threshold Effect And Spatial Spillover Effect Of FDI On Regional Eco-efficiency

Foreign direct investment,while driving regional economic growth,also causes a deterioration of local resource and ecological environment.Recent years have witnessed a proliferation of literatures about individual effect of foreign direct investment to Chinese economy,resource and environment,however,there is few paper studying empirically on the role of foreign direct investment in a sound and fast development of China with the idea of coordinated development of China’s economy,resources,and the environment.By adopting China’s inter-provincial panel data from 2004 to 2015 this paper uses the Super-efficiency DEA model to calculate regional eco-efficiency,which use the kernel density estimation method to draw the growth distribution map to describe meticulously the temporal and spatial distribution characteristics and dynamic evolution process of FDI and regional ecological efficiency;then which examines empirically the effect of FDI on eco-efficiency based on the threshold model;Finally,which considers that there is a certain correlation between the socio-economic aspects of the provinces with relatively independent administrative regions.The spatial econometric model is used to analyze the spatial dependence of Chinese provincial ecoefficiency and the impact of FDI on regional eco-efficiency.The results of regressions show FDI has a tendency of continuous accumulation,and the polarization tends to be flat and regional eco-efficiency is higher in the eastern provinces and increasing slowly year by year.The evolution of regional eco-efficiency in each province is inconsistent.There is a double threshold for R&D investment.The positive spillover of foreign direct investment is more significant if the first line of the threshold is stepped over.After crossing the second threshold value,the positive spillover effect of foreign direct investment has declined slightly,but the level of spillover is still far higher than the level before the first threshold.Meanwhile,there is a single threshold for environmental regulation.On the left side of the threshold,the spillover effect of foreign direct investment is negative,but on the right is positive.It is mainly the eastern areas that maintain a high level of environmental regulation and R&D investment.The regional eco-efficiency generally shows a positive spatial correlation,exerts a high-high,low-low agglomeration effect pass the Moran?I test.This article uses two-way fixed effect Spatial Durbin Model for spatial decomposition to examine the spatial interaction effects of FDI on regional eco-efficiency,the results of regressions show that the influence of foreign direct investment on the eco-efficiency of the local area has the “U” character of the environmental Kuznets curve.Spatial spillover effects of FDI based on the 0-1 weighted Spatial Durbin Model fail to pass the significant test.However,it based on the geographic distance-weighted can pass the significant test,which shows that foreign direct investment based on geographic distance weight has a positive spatial spillover effect on the neighboring regions,and there is a “demonstration effect” on the neighboring regions.