Affiliation:
1. Kunming University of Science and Technology
2. Chengdu University of Technology
Abstract
To explore constraints on outward foreign direct investment £ ̈OFDI£© from China enterprises, this thesis analyzes the relationship between OFDI and financial development. Theoretical analysis of extended AK model and Geweke causal decomposition test show that financial development significantly related to the OFDI from China enterprises and financial repression is a constrain on OFDI to some extent. To promote fair, reasonable, orderly and sustainable development of OFDI from China enterprises, we should pay attention to not only the temporary strategies, such as policy-based finance, development finance and administrative action, but also to the promotion of financial development itself.
Publisher
Trans Tech Publications, Ltd.
Reference9 articles.
1. J. van.
2. Kuijs, Louis, 2006, How Will China's Saving – Investment Balance Evolve?, World Bank Policy Research Working Paper, NO. 3958.
3. Desai, Mihir A, C. Fritz Foley, and Jr. James R. Hines, Foreign Direct Investment and the Domestic Capital Stock, American Economic Review, 2005, 95: 33-38.
4. UNCTAD, Cornnission on Investment, Technology and Related Financial Issues, June. Effectiveness of Foreign Direet Investment Poliey Measures, [D], Geneva, 2003, 25一27.
5. Henry, Peter Blair. Capital Aceount Liberalization, "the Cost of Capital, and Economy Growth[J]. American Economie Review, 2003, 5(93): 91一96.