2007Journal of Nanjing Institute of Industry TechnologyRequires access

Research on Regional Selection of FDI in Anhui Province in Comparison with Jiangsu

Bingyun Zheng

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Abstract

The paper compares the decisive factors on regional selection of FDI in Anhui and Jiangsu provinces,with the step-by-step regression model and the city panel date from 2001 to 2005.The empirical study suggests that two different regional selection model of FDI exit between Anhui and Jiangsu provinces.Cost factor is the most important one of four factors which impact the regional selection of FD significantly in Ahui,so the model regional selection of FD is called process-efficiency-seeking.Apparently differing from Anhui,technique and market factor have significant impact to FDI in Jiangsu,so the model is considered technique-market-drive.We also find that preferential policy has no influence to FDI both in Anhui and in Jiangsu.

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What this paper is about

The paper compares the decisive factors on regional selection of FDI in Anhui and Jiangsu provinces,with the step-by-step regression model and the city panel date from 2001 to 2005.The empirical study suggests that two different regional selection model of FDI exit between Anhui and Jiangsu provinces.Cost factor is the most important one of four factors which impact the regional selection of FD significantly in Ahui,so the model regional selection of FD is called process-efficiency-seeking.Apparently differing from Anhui,technique and market factor have significant impact to FDI in Jiangsu,so the model is considered technique-market-drive.We also find that preferential policy has no influence to FDI both in Anhui and in Jiangsu.

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Available abstract

The paper compares the decisive factors on regional selection of FDI in Anhui and Jiangsu provinces,with the step-by-step regression model and the city panel date from 2001 to 2005.The empirical study suggests that two different regional selection model of FDI exit between Anhui and Jiangsu provinces.Cost factor is the most important one of four factors which impact the regional selection of FD significantly in Ahui,so the model regional selection of FD is called process-efficiency-seeking.Apparently differing from Anhui,technique and market factor have significant impact to FDI in Jiangsu,so the model is considered technique-market-drive.We also find that preferential policy has no influence to FDI both in Anhui and in Jiangsu.

Key concepts: Selection (genetic algorithm), Foreign direct investment, Panel data, Regression analysis, Economic geography, Business, Econometrics, Economics

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