The Co-Integration Analysis of FDI and Economic Growth in China

This article focuses on the most important problems of FDI now: the relationship between FDI and economic growth,the possibility of FDI study promoting the growth of Chinese economy in a long time,and the effect of Chinese economic growth on the introduction of FDI.Based on the estab Lishment of the co-integration model,the samples of statistical data from 1983 to 2005 of Chinese GDP and FDI have been tested by metering methods such as ADF,EG,ECM and Granger.Then it is concluded that FDI plays an important role in promoting Chinese economic growth,while the growth of Chinese economic can also benefit FDI,both of them affecting each other.Thus,there is a stable and long-time relationship between them.