The Impact Of OFDI On China’s Green Total Factor Productivity

As China’s economy shifts from high-speed growth to high-quality development,China’s economic development model also needs to shift from being factor-driven to innovation-driven.In order to achieve green and sustainable economic development,it is particularly important to improve green total factor productivity.Among the drivers of green total factor productivity growth,outward direct investment(OFDI)is an important factor that cannot be ignored,and OFDI plays an important role in promoting domestic technological progress and industrial structure optimization and upgrading.In the context of China’s vigorous implementation of the "going out" strategy and green development strategy,the green productivity growth effect of China’s OFDI has gradually become a matter of concern.At the same time,on January 1,2022,RCEP officially came into effect,which not only creates new opportunities for the deepening and development of regional cooperation in East Asia,but also provides a powerful engine for the sustained prosperity of China’s economy.RCEP has built a "supply-demand" circular industrial chain partnership,which also has a positive impact on promoting the improvement of China’s green total factor productivity.In this context,it is of great theoretical value and practical significance to study the influence of OFDI on China’s green productivity growth in RECP countries.RCEP countries as the main research objects,this paper selects the panel data of30 provinces and cities in China except Tibet,Hong Kong,Macao and Taiwan from2004 to 2020 as samples,and uses a fixed-effect model to empirically test the impact of OFDI on China’s green total factor productivity in China.The results show that China’s direct investment in RCEP countries can significantly promote the improvement of China’s green total factor productivity,and this result has good robustness.In addition,the heterogeneity analysis is also carried out,and the study of regional heterogeneity finds that there are large differences in the investment promotion effect on the improvement of green total factor productivity in the eastern,central and western regions.The study of temporal heterogeneity found that OFDI in RCEP countries in China from 2004 to 2012 could significantly promote the improvement of China’s green total factor productivity,but in the statistical period from 2013 to 2020,the promotion effect was not statistically significant.This paper discusses the relationship between OFDI and green total factor productivity in China from a new perspective,and the research results can provide practical reference value for China’s future promotion of outward direct investment in RCEP countries,and provide a theoretical basis for how to improve China’s green total factor productivity through OFDI.