Factors Influencing China’s Outward Foreign Direct Investment

2021 ◽  
Vol 15 (3) ◽  
pp. 299-319
Author(s):  
Hsiu-Ling Wu ◽  
Chien-Hsun Chen ◽  
Yi-Rou Chen
Keyword(s):  
Jel Classification ◽  
Institutional Transformation ◽  
Foreign Exchange Reserves ◽  
Outward Fdi ◽  
Chinese Enterprises ◽  
Factors Influencing ◽  
Gdp Growth Rate ◽  
The Relationship ◽  
Positive Effect ◽  
China’S Economy

The main purpose of this study is to explore factors determining China’s outward FDI (OFDI), with particular emphasis on the unique characteristics of China’s economy during the period of institutional transformation. The empirical results obtained in the present study show that Chinese enterprises tend to invest in countries that have a mature economy. Exports have a significantly positive effect on China’s OFDI, with the relationship between OFDI and exports in China being a complementary one. The relationship between imports and OFDI for China is one of substitution, as Chinese enterprises have often relied upon the importation of key components as a means of acquiring the technology they need. Exchange rates, monopolistic advantage, foreign exchange reserves and the level of technology intensity, all have a significant impact on China’s OFDI, while the GDP growth rate and geographical distance have not had a significant impact. JEL Classification: F200, O160, P450

scholarly journals Are “Internet+” tactics the key to poverty alleviation in China’s rural ethnic minority areas? Empirical evidence from Sichuan Province

2021 ◽  
Vol 7 (1) ◽  
Author(s):  
Xiang Yin ◽  
Zhiyi Meng ◽  
Xin Yi ◽  
Yong Wang ◽  
Xia Hua
Keyword(s):  
Ethnic Minority ◽  
Poverty Alleviation ◽  
Large Scale ◽  
Sichuan Province ◽  
Infrastructure Investment ◽  
Communication Infrastructure ◽  
Gdp Growth Rate ◽  
The Relationship ◽  
Positive Effect

AbstractChina has made great efforts to alleviate poverty in rural ethnic minority areas and targeted achieving the poverty-alleviation task by the end of 2020. Aba, Ganzi, and Liangshan, three of the poorest ethnic prefectures in Sichuan Province, Southwest China, have all implemented “Internet+” tactics since 2013, which have had the positive effect of increasing family revenues by improving communication infrastructure and encouraging the large-scale use of e-commerce. This paper aims to comprehensively investigate whether “Internet+” tactics play a key role in poverty alleviation in Sichuan’s rural ethnic minority areas and to propose further measures to enhance the efficiency of e-commerce practice. To this end, we conduct an analysis using the framework of classic growth theory and use panel data from 2000 to 2018 to examine the relationship between Communication Infrastructure Investment (CII) and a set of poverty-alleviation indicators, including local GDP growth rate (LGGR), local government revenue (LGR), and per-capita income of residents (PCIR). The results indicate that strengthening CII improves the PCIR and local economic growth, playing a key role in poverty alleviation. However, the stimulation of CII on LGGR and LGR wanes as time passes. More financial and technical actions will be needed to improve the efficiency and quality of current strategies for sustainable development in those areas.

scholarly journals Domestic Debt and Economic Growth in Tanzania

2018 ◽  
Vol 1 (1) ◽  
pp. p207
Author(s):  
Josephat Lotto ◽  
Catherine T. Mmari
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Gdp Growth ◽  
Gdp Growth Rate ◽  
Domestic Debt ◽  
Negative Effect ◽  
The Government ◽  
The Impact ◽  
The Relationship ◽  
Positive Effect

The main objective of this paper was to examine the impact of domestic debt on economic growth in Tanzania for the period 1990 to 2015 using Ordinary Least Square (OLS) regression method to estimate the effects. The study finds that there is an inverse but insignificant relationship between domestic debt and the economic growth of Tanzania as measured by GDP annual growth. The inverse relationship between domestic debt and GDP may be caused by different factors such as; increased trend in domestic borrowing, government lenders’ profile dominated by commercial banks and non-bank financial institutions which promotes the “crowding out” effect; the nature of the instruments used by the government ; the improper use of the domestic borrowed funds which may include funding budgetary deficits, paying up principal and matured obligations on debt, developing financial markets as well as fund other government operations. Other control variables relate with the GDP as predicted. For example, Inflation (INF) has a negative effect on the GDP growth rate, but the relationship is not statistically significant, while gross capital formation (GCF) has a positive statistically significant effect on GDP growth rate. Furthermore, foreign direct investment (FDI) showed a positive effect on the GDP growth rate and export (X) has a positive effect on GDP growth rate, and the relationship is statistically significant explaining that if a country applied an export-led growth economic strategy it enjoys the gains of participating in the world market. This means that an increase in export stimulates demand for goods which leads to increase in output, and as a country’s output increases, the economic performance also takes a similar trend. Finally, government expenditure (GE) had a negative effect on the GDP growth rate which may be explained by the increased government expenditures which are funded by either tax or borrowing. Therefore, what is required for countries like Tanzania is to have better debt management strategies as well as prudential financial management while maintaining to remain within the internationally acceptable debt level of 45% of GDP and maintain a GDP growth rate of not less than 5%. It is important for the country to realize from where to borrow from, the tenure, the risks involved and limitations to borrowing and thus set the right balance of combination of both kinds of debt. Another requirement is to properly utilize the borrowed funds. The central government’s objective should be to use the funds in more development-oriented projects that bring positive returns to the economic development.  The government should not only create a right environment and policies for investment to attract investment from domestic and foreign sources but also be cautious about the kind of investments that the foreign investors make.

scholarly journals DETERMINANT ANALYSIS OF SUPPLY CHANGE OF INDONESIA'S EXPORT PRODUCT

2010 ◽  
Vol 12 (3) ◽  
pp. 329-348
Author(s):  
Sarwedi Sarwedi
Keyword(s):  
Significant Relationship ◽  
Commodity Price ◽  
Jel Classification ◽  
Least Square ◽  
Short Term ◽  
Export Volume ◽  
Export Composition ◽  
The Relationship ◽  
Positive Effect

This study analyzes the effects of structural economic movement on the change of indonesia’s exports and examines the validity of the ignacy theory concerning structural economic movement in relation to the changes of of export composition. The study utilize an ordinary mechanism of WLS, namely the Wald model.The estimation resulted through the combination of ECM and WLS shows that the price of export goods/merchandises has a positive effect and is significant in the short-term. Yet, over the long-term period, the increase in export commodity price causes the decrease in export volumes. Meanwhile, the relationship between export volume and inflation is not significant, either in the short-term or long-term.  Foreign exchange interestingly has a positive and significant relationship with the export volume over a short-term period, but in the long-term it has a reverse effect, that is, it decreases export volume. Foreign investment has a positive and significant relationship with export volume in the long-term, the significance, however, weakens over the short-term period.The structural economic movement has a positive and significant relationship over a short-term period with export volume, but over long-term period the relationship is not statistically strong. Thus, the structural economic movement towards more on the growth of industry sector could stimulate the growth in export aggregately. This evidence provides further support on the Ignacy theory (1980) if it is applied on Indonesian international economy, especially for the period of 1983-1997.JEL Classification: C32, F14, O24Keyword: Weighted Least Square, Error Correction Model, Structural Economic Movement, Export Change

scholarly journals ANALISIS DETERMINAN PERUBAHAN PENAWARAN BARANG EKSPOR INDONESIA

2010 ◽  
Vol 12 (3) ◽  
Author(s):  
Sarwedi Sarwedi
Keyword(s):  
Significant Relationship ◽  
Commodity Price ◽  
Jel Classification ◽  
Least Square ◽  
Short Term ◽  
Export Volume ◽  
Export Composition ◽  
The Relationship ◽  
Positive Effect

This study analyzes the effects of structural economic movement on the change of indonesia’s exports and examines the validity of the ignacy theory concerning structural economic movement in relation to the changes of of export composition. The study utilize an ordinary mechanism of WLS, namely the Wald model.The estimation resulted through the combination of ECM and WLS shows that the price of export goods/merchandises has a positive effect and is significant in the short-term. Yet, over the long-term period, the increase in export commodity price causes the decrease in export volumes. Meanwhile, the relationship between export volume and inflation is not significant, either in the short-term or long-term.  Foreign exchange interestingly has a positive and significant relationship with the export volume over a short-term period, but in the long-term it has a reverse effect, that is, it decreases export volume. Foreign investment has a positive and significant relationship with export volume in the long-term, the significance, however, weakens over the short-term period.The structural economic movement has a positive and significant relationship over a short-term period with export volume, but over long-term period the relationship is not statistically strong. Thus, the structural economic movement towards more on the growth of industry sector could stimulate the growth in export aggregately. This evidence provides further support on the Ignacy theory (1980) if it is applied on Indonesian international economy, especially for the period of 1983-1997.JEL Classification: C32, F14, O24Keyword: Weighted Least Square, Error Correction Model, Structural Economic Movement, Export Change

scholarly journals Financial Development and Environmental Regulations: The Two Pillars of Green Transformation in China

2020 ◽  
Vol 17 (24) ◽  
pp. 9242
Author(s):  
Cong Li ◽  
Xihua Liu ◽  
Xue Bai ◽  
Muhammad Umar
Keyword(s):  
Economic Development ◽  
Environmental Regulation ◽  
Financial Development ◽  
Technological Progress ◽  
Environmental Regulations ◽  
Theoretical Framework ◽  
Porter Hypothesis ◽  
Chinese Enterprises ◽  
The Relationship ◽  
China’S Economy

Awareness of the influence of environmental regulations and financial development on green technological progress by Chinese enterprises will help to promote the green transformation of China’s economy, thereby comprehensively enhancing the quality and competitiveness of its economic development. This paper constructs a theoretical framework to analyze environmental regulation, financial development, and green technological progress and studies the relationship among these three indicators using 2004–2018 data from Shandong province. The results show that environmental regulations and financial development both play roles in promoting green technological progress, but as environmental regulation becomes stronger, the effects of finance on green technological progress begin to differ across regions. The results partially verify the applicability of the Porter hypothesis in China, providing a reference for all levels of government to formulate scientific and reasonable environmental rules and policies.

The Influence of Brand Equity and Green Marketing on Consumer's Decision to Purchase Honda Beat Series in Surabaya

2017 ◽  
Vol 2 (4) ◽  
pp. 01-06
Author(s):  
Syaifurrizal Wijaya Putra ◽  
Tatang Ary Gumanti
Keyword(s):  
Regression Analysis ◽  
Linear Regression ◽  
Brand Equity ◽  
Jel Classification ◽  
Green Marketing ◽  
Significant Positive Effect ◽  
Marketing Decision ◽  
Brand Competition ◽  
The Relationship ◽  
Positive Effect

Objective - Brand equity and green marketing are becoming increasingly relevant to brand competition. Brand equity and green marketing of a product are able to influence a costumer's purchasing decision (Kotler and Armstrong, 2007). This study aims to test the relationship between brand equity, green marketing, and the decision to purchase certain goods. Methodology/Technique - The study uses a sample of 120 respondents, all of whom are purchasers of a Honda Beat Series vehicle, and who live in Surabaya. The data is analyzed using multiple linear regression. Findings – The study examines the purchase of the Honda Beat Series motorcycle in Surabaya City, in the East Java Province, Indonesia. East Java is regarded as a province with the highest selling rate; in 2014, the province recorded a market share of 17.1%. This study found that brand equity and green marketing both have a significant positive effect on a consumer's decision to purchase. Novelty - This study assesses the efficacy of Honda's green marketing strategy, through the use of the PGM-Fi system, which is considered to set them apart from its competitors. Type of Paper - Empirical Keywords: Brand Equity; Green Marketing; Marketing; Decision to Purchase; Regression Analysis. JEL Classification: M30, M31.

Kredit Bermasalah sebagai Pemoderasi Pengaruh Tingkat Penyaluran Kredit terhadap Profitabilitas

2020 ◽  
Vol 5 (1) ◽  
pp. 52
Author(s):  
Sukirno Sukirno
Keyword(s):  
Research Method ◽  
Quantitative Research ◽  
Stock Exchange ◽  
Survey Methods ◽  
Analytical Tool ◽  
Significant Positive Effect ◽  
Purposive Sampling ◽  
The Relationship ◽  
Positive Effect

Abstract This study aims to empirically challenge the moderation of Non-Performing Loans to the effect of Credit Distribution Rates on Profitability. The population of 81 bank companies listed on the Indonesia Stock Exchange in the period 2014-2018 and which met the criteria of the research sample (purposive sampling) were 22 companies. The research method uses survey methods with quantitative research approaches, the analytical tool used is moderation regression. This study concludes that the level of credit distribution has a significant positive effect on profitability and the existence of the problem loan variable is proven to be a moderating variable that weakens the relationship between the level of credit distribution and profitability.    

The Factors Influencing Tourist Visitations Number in Curug Silawe

2019 ◽  
Vol 2 (3) ◽  
pp. 553-561
Author(s):  
Novian Hangga Prakosa ◽  
Fafurida Fafurida
Keyword(s):  
Economic Value ◽  
Consumer Surplus ◽  
Sampling Technique ◽  
Travel Cost ◽  
Analysis Tool ◽  
Literature Study ◽  
Factors Influencing ◽  
Negative Effect ◽  
Value Estimation ◽  
Positive Effect

The purposes of this research are to identify the influence of travel cost, income, distance, access, facilities, natural beautiness, and age on the number of individual visits to Curug Silawe and to estimate the economic value of Curug Silawe through individual travel cost method. The population in this study are tourists that visited Curug Silawe with sample of 98 respondents taken by the quota accidental sampling technique. The data collection method used are literature study and questionnaire. The analysis tool used are OLS linear regression and economic value estimation. The results showed the variables that influence the number of individual visits to Curug Silawe are income, distance and age. Income and age has a positive effect. While distance has a negative effect. The economic value of Curug Silawe reached IDR 1,109,930,140.48 per year. This value is obtained from consumer surplus obtained per individual per year of IDR 308,656.88. Tujuan dari penelitian ini adalah untuk mengidentifikasi pengaruh biaya perjalanan, pendapatan, jarak, akses, fasilitas, keindahan alam, dan usia pada jumlah kunjungan individu ke Curug Silawe dan untuk memperkirakan nilai ekonomi Curug Silawe melalui metode biaya perjalanan individu . Populasi dalam penelitian ini adalah wisatawan yang berkunjung ke Curug Silawe dengan sampel 98 responden yang diambil dengan teknik quota accidental sampling. Metode pengumpulan data yang digunakan adalah studi literatur dan kuesioner. Alat analisis yang digunakan adalah regresi linear OLS dan estimasi nilai ekonomi. Hasil penelitian menunjukkan variabel yang mempengaruhi jumlah kunjungan individu ke Curug Silawe adalah pendapatan, jarak dan usia. Penghasilan dan usia memiliki efek positif. Sedangkan jarak memiliki efek negatif. Nilai ekonomi Curug Silawe mencapai Rp1.109.930.140,48 per tahun. Nilai ini diperoleh dari surplus konsumen yang diperoleh per individu per tahun sebesar Rp308.656,88.

Financial Intermediation and Growth: Theory and Some Cross-Country Evidence

1997 ◽  
Vol 36 (4II) ◽  
pp. 855-862
Author(s):  
Tayyeb Shabir
Keyword(s):  
Economic Growth ◽  
Financial Markets ◽  
Financial Intermediation ◽  
Empirical Estimates ◽  
Financial Liberalisation ◽  
Cross Country ◽  
Level Of Significance ◽  
The Relationship ◽  
Positive Effect ◽  
Theoretical Developments

Well-functioning financial markets can have a positive effect on economic growth by facilitating savings and more efficient allocation of capital. This paper characterises some of the recent theoretical developments that analyse the relationship between financial intermediation and economic growth and presents empirical estimates based on a model of the linkage between financially intermediated investment and growth for two separate groups of countries, developing and advanced. Empirical estimates for both groups suggest that financial intermediation through the efficiency of investment leads to a higher rate of growth per capita. The relevant coefficient estimates show a higher level of significance for the developing countries. This financial liberalisation in the form of deregulation and establishment and development of stock markets can be expected to lead to enhanced economic growth.

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