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Domestic enterprises with foreign participation in labor productivity

Author: XiangXunYong
Tutor: XuZongLing
School: Shantou University
Course: Industrial Economics
Keywords: Foreign participation Labor productivity Technology Spillover Robustness
CLC: F224;F276.43
Type: Master's thesis
Year: 2011
Downloads: 18
Quote: 0
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Abstract


Since reform and opening, China's economy has maintained rapid growth, which is China's opening-up policy adopted are inextricably linked, a lot of foreign investment on China's economic development and social development has had a profound impact. But for the participation of foreign-funded enterprises are internally generated technology spillover effect, has not been unanimously agreed conclusions. In this paper, Guangdong Province, the industrial sector 33 industry panel data from 2001 to 2007 as a research object, to examine the participation of foreign capital in Guangdong Province industrial labor productivity. After considering heteroscedasticity, cross-sectional correlation and serial correlation and other issues, and take related methods to solve these problems, this article came to the conclusion that on the whole, the entry of foreign investment in the industrial sector in Guangdong Province produces the industry's negative spillover effects, that on foreign-funded enterprises within the industry produced a \However, in considering the different characteristics of the industry factors, and found the involvement of foreign capital for the different sectors of technology spillover effect is not the same. Specifically, the following points: on the one hand, for the smaller gap between domestic and foreign technology, industry, technology spillover effect is significantly negative, but for the big gap between domestic and foreign technology in the industry, there is a certain degree of positive spill effect, and the results are significant. On the other hand, the size difference between domestic and foreign technology spillovers for little, while the proportion of the number of foreign-funded enterprises significantly affect the technology spillover effect, the greater the proportion of the number of foreign-invested enterprises, domestic enterprises within the industry negative spillover effects of the smaller number in the larger proportion of foreign-funded enterprises in the industry, the industry's negative spillover effect is very small. Finally, the higher the degree of dependence on foreign trade, foreign domestic enterprises of the \negative, while for high dependence on foreign export industry, technology spillover effect is significantly positive. This paper estimates robustness of the results were analyzed, taking into account the endogeneity problem, foreign participation in the measure as well as abnormal sample points and other issues, found foreign participation variable in front of the estimated coefficients on the size and significance had happened saliency change, so the test results is robust.

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