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Study on the Effect of Foreign Investment on Anhuis Industrial Structure Optimization

Xuan Ji

Xuan Ji 1


  1. School of Economics and Finance, Shanghai International Studies University, Shanghai, P. R. China. 1

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on PubMed

Pages: 82-90

DOI: 10.18488/journal.74.2019.62.82.90

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Article History:

Received: 17 April, 2019
Revised: 23 May, 2019
Accepted: 02 July, 2019
Published: 09 August, 2019


Abstract:

With the deepening implementation of the strategy of the rise of central China, the degree of opening up of Anhui Province has increased year by year. It is of great significance to study the impact of foreign direct investment in the optimization of industrial structure in Anhui Province and how to achieve efficient economic development during the 13th Five-Year Plan period. Using the method of empirical analysis, the time series data from 1997 to 2014 reflects the characteristics of the actual utilization of foreign direct investment and industrial restructuring in Anhui Province. There are significant differences in the contribution of the three industries to the added value of each industry. From the short-term effect, the actual use of foreign direct investment in the secondary industry contributes the most to its added value. From the long-term effect, the actual use of foreign direct investment in the second industry contributes the most to the current added value. Foreign direct investment has promoted the industrial structure of Anhui Province to a certain extent, but it has aggravated the imbalance of the industrial structure at the same time.
Contribution/ Originality
The paper's primary contribution is finding that foreign direct investment has promoted the evolution of the industrial proportion of Anhui Province from the first industry dominance to the second industry dominance, and also promoted the upgrading of the industrial structure.

Keywords:

Foreign direct investment, Industrial structure, Anhui province, Empirical analysis, Value added.

Reference:


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Funding:

This study received no specific financial support.

Competing Interests:

The author declares that there are no conflicts of interests regarding the publication of this paper.

Acknowledgement:


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