Research On The Influence Of Foreign Direct Investment On Green Total Factor Productivity In China

In the report of the 19th National Congress of the Communist Party of China,it was pointed out that the stage of China’s economic development has changed.In terms of growth,we not only pursue speed,but also pay more attention to quality.Therefore,the main factor driving its development is to shift from factors to innovation,so as to achieve the improvement of total factor productivity(TFP).Green total factor productivity(gtfp)is a TFP that takes into account resources and environment.It is an important new indicator to measure regional economic development in line with the current development thinking.Therefore,the research on gtfp is of great significance for green development.Among the factors affecting the improvement of gtfp,a very important one is foreign direct investment(OFDI),because in the development economic environment,it is a very important way to obtain foreign advanced technology and experience.Moreover,with the promotion of"the Belt and Road",Chinese enterprises have developed rapidly in OFDI,with a large increase in scale and quantity,and gradually become a big country in OFDI.Under this background,it is of great significance and value to study the impact of OFDI on gtfp in China.Therefore,based on the data of various provinces in China and considering the impact of environmental regulation,this paper studies the impact of OFDI on gtfp.This paper combines theoretical and empirical analysis to conduct research.Firstly,this paper combs relevant literature and theories,then discusses the impact mechanism of OFDI on gtfp of home country,initially builds a theoretical research framework of the relationship between OFDI and gtfp of home country,which lays a foundation for systematically analyzing the impact of OFDI on gtfp of China,and then builds a gtfp measurement model to conduct overall and sub regional measurement,Then the dynamic panel GMM model is used to carry out the regression analysis of the impact of OFDI on gtfp,and the regression analysis is carried out based on different investment methods.In order to verify the threshold effect of environmental system,the panel threshold model is used to analyze the impact of OFDI on gtfp.Through the research,the following conclusions are drawn:first,the green total factor productivity has gradually increased in recent years,whether overall or regional.From the regional perspective,there are obvious differences.The green total factor productivity in the eastern region is the highest,followed by the central region,and the green total factor productivity in the western region is the lowest;Second,based on the whole sample,the parameter estimation of dynamic panel GMM model is carried out.It is found that green total factor productivity has the characteristics of accumulation and sustainability,and foreign direct investment has an obvious positive effect on green total factor productivity.Under different investment modes,the impact of foreign direct investment on green total factor productivity is different;Third,through the study of threshold effect,it is found that the impact of OFDI on gtfp is constrained by the strength of regional environmental institution.With the change of environmental institution strength,the impact of OFDI on gtfp shows a significant positive and non-linear law of increasing marginal efficiency.