FDI in services and China´s service export sophistication

Author

Shenglan Huang ; Yunfei Chen

Author_Institution

Sch. of Econ., Xiamen Univ., Xiamen, China

fYear

2014

fDate

25-27 June 2014

Firstpage

1

Lastpage

5

Abstract

This paper analyzes the mechanism of FDI in services impacting on China´s service export sophistication by theory, and it shows that FDI in services have both positive and negative influences on China´s service export sophistication. Then we try to test the relationship between FDI in services and China´s service export sophistication in accordance with the method of time series analysis in the period from 1997 to 2012. The empirical analysis results show that there is a co-integration between FDI in services and China´s service export sophistication, and FDI in services is the Granger cause of China´s service export sophistication according to the Granger cause test. We should expand the opening-up market of service trade and lead foreign direct investment to flow into modern services, so that we can promote the transformation of services and upgrade the level of China´s service export sophistication.

Keywords

international trade; investment; service industries; statistical testing; China; FDI; Granger cause test; empirical analysis; foreign direct investment; service export sophistication; service trade; time series analysis; Computers; Finance; Industries; International trade; Investment; Transportation; export sophistication; human capital; indigenous enterprises; vertical specification;

fLanguage

English

Publisher

ieee

Conference_Titel

Service Systems and Service Management (ICSSSM), 2014 11th International Conference on

Conference_Location

Beijing

Print_ISBN

978-1-4799-3133-0

Type

conf

DOI

10.1109/ICSSSM.2014.6874085

Filename

6874085