Analysis Of The Effect Oriented "The Belt And Road Intiatives" OFDI Effect On The Total Factor Productivity In China

In recent years,due to the deepening of China's opening up policy and the policy of "one belt and one road",the direct investment quota of China along the "one belt along the way" has also been expanding year by year.In 2017,the total amount of investment in China along the "one belt and one road" area amounted to 154 billion 398 million US dollars,accounting for 8.9% of the total.Under such a large volume of external investment,it is of guiding significance for China's "along the road" strategy and the development of foreign in vestment activities to study whether China's OFDI can bring about technological progress and technical efficiency.By combing the relevant theories and existing research of foreign investment,this paper analyzes the current investment situation of China's "one belt and one road" country,and combines theory with current situation,and puts forward the mechanism of China's OFDI oriented toward the "one belt and one road" country to its total factor productivity.Then,we divide three time samples to analyze the provincial panel data of our country,and further explore the investment of "all the way" countries,such as the role of TFP and the way of transmission.Finally,through empirical analysis,this paper examines how the development level of host country,regional division and home country sub-region affect the outward investment activities.The empirical conclusions are as follows:1.the mechanism research finds that there is no reverse technology feedback for OFDI in China.The main effect is to reduce the R&D cost and promote the total factor productivity through investment.Through the study of transmission mechanism,it is found that technological efficiency has a significant impact on total factor productivity,and domestic capital stock is the main factor affecting the promotion of transmission mechanism.2.According to the analysis of the development level of the host country,the coefficient of outward direct investment is negative,which proves that thereis no reverse technological feedback to the investment of "one belt and one country".The possible situation is that the technological level of the "one belt and one road" country is much lower than that of China,resulting in a low or nonexistent reverse technological effect on its investment.The results of European and Asian countries are similar to those of distribution degree analysis,which further proves the conclusion.3.Domestic subregional studies have found that the OFDI of the central and western regions facing the "one belt and one way" country has reverse technological feedback,while the eastern region does not exist this effect.It is proved that there are regional differences in the impact of OFDI on China's total factor productivity.Through the threshold test,it is further verified that due to the uneven level of human capital and technology development,there are regional differences in the role of OFDI in total factor productivity in China.