Foreign Direct Investment and Urban Growth in China

摘要

Foreign Direct Investment (FDI) has long been targeted by many developing countries as a vehicle and driver to promote economic growth. China perhaps is one of the countries that have effectively and successfully used FDI inflows to access overseas advanced technology and managerial knowledge, to deal with capital shortage (capital shortage was a big development barrier in the early years of the pro-reform periods in China), and to promote international trade. The role and importance of FDI to the Chinese economy is manifest in the ratio of industrial output values of Foreign Invested Enterprise to total industrial output values. It grew gradually from virtually nothing before 1979 to slightly over 7% in 1990; but jumped to more than 31 % in 2006.