Title

FDI technology spillovers within and across industries: Evidence from China

Date of this Version

1-1-2009

Document Type

Journal Article

Publication Details

Interim status: Citation only

Tian, X. & Lin, S. (2009). FDI technology spillovers within and across industries: Evidence from China. Journal of Asia business studies, 3(2), 29-36.

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2009 HERDC submission. FoR code: 1503

© Copyright Emerald Group Publishing Ltd., 2009

Abstract

Using panel data of 11324 firms in China from 1996 to 1999, the study finds that FDI tends to generate positive technology spillovers to domestic firms within the same industry, but adversely affect productivity of domestic firms in other industries. It is also found that both the positive and the adverse effects are more significant at the local than the national level. Evidence from China thus suggests that FDI technology spillovers are in favor of domestic firms within the same industry rather than domestic firms in other industries, and are most likely to affect domestic firms within the same locality. The finding has significant implications for the study of the interaction between MNEs and local firms in emerging markets.

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This document has been peer reviewed.