Foreign direct investment and economic performance in transition economies: Evidence from Chinese provinces

Xiaowen Tian; Shuanglin Lin; Vai Io Lo

doi:10.1080/1463137042000309584

Foreign direct investment and economic performance in transition economies: Evidence from Chinese provinces

Xiaowen Tian, Shuanglin Lin, Vai Io Lo

Research output: Contribution to journal › Article › Research › peer-review

23 Citations (Scopus)

Abstract

Based upon a production function with FDI representing updated technology from more developed, market‐based economies, this study tests the hypothesis that FDI contributes to the economic growth of less developed, transition economies via technology updating, using data for 30 Chinese provinces from 1985 to 2000. It is found that provinces with a higher FDI ratio experienced faster technology updating and more rapid economic growth. The study suggests that less developed, transition economies should encourage FDI from more developed, market‐based economies so as to accelerate technology updating and economic growth.

Original language	English
Pages (from-to)	497-510
Number of pages	13
Journal	Post-Communist Economies
Volume	16
Issue number	4
DOIs	https://doi.org/10.1080/1463137042000309584
Publication status	Published - 2004
Externally published	Yes

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Tian, X., Lin, S., & Lo, V. I. (2004). Foreign direct investment and economic performance in transition economies: Evidence from Chinese provinces. Post-Communist Economies, 16(4), 497-510. https://doi.org/10.1080/1463137042000309584

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