An empirical study on regional influencing factors of FDI and countermeasures in liaoning province

Based on datum from 1990 to 2008 of Liaoning province, by exerting stepwise regression, co-integration and error correction model, the paper analyzes the influential factors of FDI from different angles, such as market size, labor costs, degree of openness, human capital, and level of information. The results show that market size is the most important factor which influence FDI in Liaoning, meanwhile information tools, transport capacity, human capital also have a great influence, whereas labor costs slows down the pace of development.