FDI Agglomeration Change in China

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Abstract

No previous research has considered the changing agglomeration effect of foreign direct investment (FDI). The purpose of this paper is to fill the gap in the literature. The paper uses China as the object of study and examines the centripetal and centrifugal forces associated with FDI clustering over time. Through studying the FDI determinants for the 29 Chinese provinces from 1993 to 2008, the empirical analysis supports a weakening agglomeration effect of FDI over time in China and further suggests that the effect has nearly vanished in the past few years.

Original languageAmerican English
JournalJournal of Chinese Economic and Foreign Trade Studies
Volume5
DOIs
StatePublished - Jan 1 2012

Keywords

  • Agglomeration
  • Agglomeration Effect of FDI
  • Centrifugal Forces
  • Centripetal Forces
  • China
  • Determinant
  • Foreign Direct Investment
  • International Investments
  • National Economy

Disciplines

  • Economics
  • Social and Behavioral Sciences

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