Foreign Direct Investment And Economic Development In China
Part A - Review of the literature
Introduction
There has been empirical evidence surrounding greater economic development attributed to the foreign direct investment in china. The positive effect witnesses by the quality institutions in Chinese host regions has been impacting with greater level of inflows witnessed since 90's. The fee burdens are reduced and the tax reductions for the foreign investments in China have led to adoption of the variable approach. The suitable policies with respect to foreign investment have been a significant factor too. The FDI induced improvisation for the institutional firms along with the locational advantage in China has boosted the foreign direct investment in the economy leading to greater economic development witnessed too. The industrial competitiveness has a great impact basis the ability for the country to produce and then export the goods. Foreign Direct Investment has aided to a great extent in maintaining the requisite and the significance. The effect on the industrial performance in China is attributed to lot of factors. The FDI interaction taking place with the human capital too is crucial in case of China.
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