Dissertation > Excellent graduate degree dissertation topics show

Study on RMB Exchange Rate Level and Its Volatility’s Influence on Foreign Direct Investment into China

Author: XuWenYan
Tutor: RanMaoSheng
School: Chongqing University
Course: Finance
Keywords: Foreign Direct Investment RMB Effective Exchange Rate Bilateral Exchange Rate Volatility
CLC: F832.6
Type: Master's thesis
Year: 2009
Downloads: 312
Quote: 0
Read: Download Dissertation

Abstract


Foreign Direct Investment which brings China abundant capital, technology and experience in administration contributes a lot to China’s economic development. On the other hand, with China’s entry into the WTO, the further opening-up will bring allocating resources via market mechanism furthermore. Nowadays, with the background of the reform of the RMB exchange rate regime, RMB will go on appreciate and its volatility will increase, so exchange rate will undoubtedly influence the capital structure into China.This paper firstly gives a brief summarize of the theory between exchange rate and Foreign Direct Investment, including the theory between exchange rate level and FDI, the theory between exchange rate volatility and FDI, then the primary conclusion is that: The export-oriented FDI will be more easily influenced by exchange rate.The qualitative analysis in the paper including: the industrial structure and the source structure of China’s FDI, the character of China’s FDI, RMB exchange rate level and it’s volatility’s influence on China’s FDI. The quantitative analysis including: RMB effective exchange rate and it’s volatility’s influence on FDI which is divided by industry, bilateral exchange rate and it’s volatility’s influence on FDI which is divided by parent country (district).This paper divides China’s FDI by industry or by country (district) respectively, main results of quantitative analysis are as follows:①The level of RMB exchange rate is the significant dominator of FDI into China, no matter effect exchange rate or bilateral exchange rate, the appreciation of RMB will restrain foreign direct investment into China, in contrast, it’s depreciation will promote FDI ;②As far as exchange rate volatility is concerned, the volatility of RMB effective exchange rate will restrain FDI into every manufacturing sector; meantime, the volatility of bilateral exchange rate will restrain FDI from Japan and United States significantly.③There exists significant sector effect between RMB effective exchange rate and FDI into Chinese manufacturing sectors; meanwhile, there also exists significant country effect between bilateral exchange rate and FDI from main parent countries (districts). In light of the conclusion of the paper, we suggest: in the view of exchange rate, in order to create a sound investment environment for foreign business, we should keep long exchange rate stable and reasonable in the circumstances of short-time exchange rate’s flexibility.

Related Dissertations

  1. A Study about the Stock Index Future’s Influence on the Stock Market,F224
  2. An Empirical Analysis on the Changes of China’s Labor Share,F224
  3. Empirical Research About the Influence of FDI and Industrial Structure in Zhejiang Province,F127;F224
  4. German FDI in China Scale, Scope, and Failures,F125.5
  5. The Effect of RMB Exchange Rate Changes on Domestic Economic Development,F124
  6. An Empirical Research on Affacting Factors of FDI of Hebei Province,F832.6
  7. Reeseach ahout the Impact That the Foreign Direct Investment Have to Have to the Economic Growth of Jilin Province,F832.6;F127
  8. OFDI impact on TFP conduction path of empirical research,F124;F224
  9. Extension of Cox-Ingersoll-Ross Model and Its Euler-Maruyama Method Approximation,F830
  10. Application Research in Stock Selection and Optimization Strategies of Portfolio Investment,F830.91
  11. Research on Volatility Risk of International Tanker Freight Index Based on SV Models,F224
  12. Raised the deposit reserve ratio of the empirical analysis of the effect on the stock market,F832.51;F224
  13. A Study of Securities Investment Risk Assessment Model Basing on the AHP Method,F830.91
  14. The Empirical Research on Volatility Timing Ability of the Open-end Equity Fund in China,F224
  15. Research on Motivation and Regulation of Foreign Direct Investment in China under the Condition of Environmental Security,F832.6
  16. Research on the Effects of Technological Spillovers from Different Characters of FDI in Manufacturing Industry of China,F832.6;F424
  17. A Study on the Introduction and Utilization of FDI and the Development of China Producer Services,F832.6
  18. Foreign Direct Investment in China's automobile industry international competitiveness impact analysis,F426.471
  19. CAPM-EGARCH model based on financial risk measurement and Volatility Spillovers,F830
  20. Hyperbolic Geometric Flow-Review and Ideas,O186.12
  21. Fractal Theory and Its Application in Financial Market Analysis,F830.9

CLC: > Economic > Fiscal, monetary > Finance, banking > China's financial,banking > Exchange rate,foreign financial relations
© 2012 www.DissertationTopic.Net  Mobile