Technology Spillover of FDI,Independent Innovation Ability and Export Trade Structure——An Empirical Review Based on the Provincial Dynamic Panel Data in China

In the previous study on the spillover effect of FDI in China,the important factor of indigenous independent innovation capability is often overlooked,which might make the empirical results biased and overestimate the effect of FDI spillover.The author makes an empirical analysis of the provincial panel data from 1998 to 2007.The empirical analysis shows that after the variable of independent innovation capability is controlled,FDI technology spillover does not show significant positive impact on the structure of China’s exports,whereas the capability of independent innovation has an important role in promoting the improvement of China’s export trade structure.Through the introduction of the two cross-utility,it is found that FDI technology spillover and independent innovation ability have obvious synergetic effect on the improvement of China’s export trade structure.Enhancing the capability of independent innovation and technological Absorption capacity will contribute significantly to structural optimization and upgrading of China’s export trade.As to the use of foreign capital,more attention should be paid to the improvement of quality.