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Article
Quantifying foreign direct investment productivity spillovers in China: A computable general equilibrium model.
Asian Economic Journal
  • Ziliang Deng, University of China
  • Rod Falvey, Bond University
  • Adam Blake, Bournemouth University
Date of this Version
1-1-2013
Document Type
Journal Article
Publication Details

Citation only

Deng, Z., Falvey, R., & Blake, A. (2013). Quantifying foreign direct investment productivity spillovers in China: A computable general equilibrium model. Asian Economic Journal, 27(4), 369-389.

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2013 HERDC submission. FoR code: 140210

© Copyright, The Authors; Asian Economic Journal; East Asian Economic Association and Wiley Publishing Asia Pty Ltd, 2013

Abstract
For the purposes of this study, we will construct a static monopolisticallycompetitive computable general equilibrium model to quantify the endogenous productivity spillovers from foreign and domestic firms, using the Chinese economy as a case study. Our simulation results indicate: (i) that the net spillover effects are positive in terms of national total output, GDP and welfare; (ii) that both state-owned and privately-owned firms benefit, but that private firms benefit more; (iii) that industries with large volumes of foreign direct investment (FDI) do not necessarily observe the largest spillover effects; and (iv) that the spillover effects become more prominent when the initial market structure is more concentrated.
Citation Information
Ziliang Deng, Rod Falvey and Adam Blake. "Quantifying foreign direct investment productivity spillovers in China: A computable general equilibrium model." Asian Economic Journal (2013) ISSN: 1351-3958
Available at: http://works.bepress.com/rodney_falvey/10/