Item Details
Skip Navigation Links
   ActiveUsers:2633Hits:20996368Skip Navigation Links
Show My Basket
Contact Us
IDSA Web Site
Ask Us
Today's News
HelpExpand Help
Advanced search

In Basket
  Journal Article   Journal Article
 

ID092535
Title ProperDo Chinese domestic firms benefit from FDI inflow?
Other Title Informationevidence of horizontal and vertical spillovers
LanguageENG
AuthorLin, Ping ;  Liu, Zhuomin ;  Zhang, Yifan
Publication2009.
Summary / Abstract (Note)Using a large panel dataset covering all manufacturing firms (above a minimum scale) in China from 1998 to 2005, this paper examines whether there exist productivity spillovers from foreign direct investment (FDI) to domestic firms. In estimating productivity, we control for a possible simultaneity bias by using semi-parametric estimation techniques. We find that Hong Kong, Macao and Taiwan (HMT) invested firms generate negative horizontal spillovers, while Non-HMT foreign invested firms (mostly from OECD countries) tend to bring positive horizontal spillovers in China. These two opposing horizontal effects seem to cancel out at the aggregate level. We also find strong and robust vertical spillover effects on both state-owned firms and non-state firms. However, vertical spillover effects from export-oriented FDI are weaker than those from domestic-market-oriented FDI.
`In' analytical NoteChina Economic Review Vol. 20, No. 4; Dec 2009: p.677-691
Journal SourceChina Economic Review Vol. 20, No. 4; Dec 2009: p.677-691
Key WordsForeign Direct Investment ;  Spillovers ;  China