FDI Technology Spillovers, Geography, and Spatial Diffusion

FDI Technology Spillovers, Geography, and Spatial Diffusion
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DOI:
10.2139/ssrn.2637811
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发表时间:
2015-09
期刊:
ERN: Financial Markets
影响因子:
--
通讯作者:
Mi Lin;Yum K. Kwan
Mi Lin;Yum K. Kwan
中科院分区:
其他
文献类型:
--
作者:
Mi Lin;Yum K. Kwan

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This paper investigates the geographic extent of FDI technology spillovers and associated spatial diffusion. By adopting a spatiotemporal autoregressive panel model as the platform of our study, the complex impact resulting from FDI penetration is separated into spatial direct and indirect effects while accounting for feedback loops among regions. A set of spatially partitioned summary measures is produced to identify and to quantify FDI spillovers from different channels with distinct geographic scopes. Empirical results based on data from China document that the direct impacts of FDI presence to a specific location itself are likely to be negative. Domestic firms mainly benefit from FDI presence in their neighboring regions through knowledge spillovers that have wider geographic scope. Negative market stealing effect nevertheless has no spatial boundary. Policy implications of these findings are discussed.