Toward a sustainable future:Examining the interconnectedness among Foreign Direct Investment(FDI),urbanization,trade openness,economic growth,and energy usage in Australia

The energy demand in Australia is increasing with the industrialization and rapid economic growth.This study analyzed the relationships among the economic growth,Foreign Direct Investment(FDI),trade openness,urbanization,and energy usage in Australia based on the data from World Development Indicators(WDI)from 1972 to 2021.The results indicates that there is a cointegration among economic growth,FDI,trade openness,urbanization,and energy usage,which was traced through the autoregressivedistributed lag(ARDL).The Zivot-Andrews unit root test reveals that energy usage,economic growth,FDI,urbanization,and trade openness show significant structural breaks in 1993,1996,1982,2008,and 1994,respectively.The ARDL model shows that economic growth has a positive and significant effect on energy usage in the long-run(0.814)and short-run(0.809).Moreover,the results also show that FDI(0.028)and trade openness(0.043)have positive impacts on energy usage in the long-run.However,urbanization shows a negative and significant influence on energy usage in the long-run(–0.965).Then,the research demonstrates a unidirectional causation between energy usage and trade openness,with energy usage significantly causing trade openness.The current study endorses energy consumption policies and investment strategies for a paradigm shifting from a reliance on fossil fuels as the primary energy source to renewable energy sources.These findings have profound implications for sustainable energy usage.

The Effect of Foreign Direct Investment on Air Pollution in the Economic Community of West African States region: What Influence Does Tax Expenditure Have?

Air pollution is one of the crucial environmental challenges facing the countries of the Economic Community of West African States (ECOWAS). The objective of this paper is to examine the effect of an attractive tax policy on the relationship between Foreign Direct Investment (FDI) and air pollution in ECOWAS region over the period 2000 to 2019. By using the Ordinary Least Squares (OLS) method and panel data analyses (fixed effects and random effects), the results show that, in general, FDI does not have a significant effect on air pollution in the region. However, closer analysis reveals that an interaction between FDI and an attractive tax policy has a negative effect on air quality, leading to an increase in air pollution. Thus, companies attracted by tax incentives may not meet rigorous environmental standards. These results highlight the importance for policymakers to balance economic incentives with environmental protection in ECOWAS. Attractive tax policies can stimulate investment, but they must be designed in a way that encourages environmentally friendly practices, thereby helping to improve air quality in the region.

Foreign Direct Investment with Chinese Characteristics:A Middle Path Between Ownership-Location-Internalization Model and Linkage-Leverage-Learning Model

The majority of multinational enterprises （MNEs） traditionally originate from developed countries. In the last ten years, however, there has been dramatic growth in foreign direct investment （FDI） from China. It is a comparatively new phenomenon that challenges the classic FDI theories. In this paper, we review the pros and cons of two important theories, known as the Owner- ship-Location-Internalization （0LI） model and Linkage-Leverage-Learning （LLL） model, and use the statistical data and company case studies from China to test the plausibility of these two models. We believe that neither of them suits totally： the OLI model is quite use- fill for understanding FDI from China to developing economies, while the LLL model is more powerful for explaining the FDI to de- veloped economies. We argue that the companies from China attain a very advantageous position as intermediates in the global economy They may catch up with the first movers if they integrate OLI-led and LLL-led FDI within one firm. This combination can bring to- gether the most advanced knowledge acquired in developed economies with the knowledge about adaptation needs and the needs for cost reduction in production as expressed in developing economies. It may also accelerate the knowledge transfer globally. We thus fill a gap in research into the geographical pattern of Chinese FDI and offer a deeper understanding of the internationalization of Chinese MNEs and revolving knowledge transfer.

Cross-border Urban Networks Based on Manufacturing Global Value Chain:A Study of Listed Companies in Western China

Cross-border investment is essential for western China’s globalization.Global value chain(GVC)forms cross-border investment networks between industries in western China and overseas cities.Focusing on GVC,this study uses the social network analysis method,entropy method,multi-index comprehensive evaluation method,and quadratic assignment procedure analysis method to examine the characteristics and influencing factors of the urban networks of research and development(R&D),production,and sales formed as a result of the overseas investments of listed manufacturing companies in western China.Results showed that the three types of investment networks involved multiple industry types and multiple central cities with differentiated diversity and multicentrality.The R&D urban network’s leading sub-industries were the mechanical equipment and instruments,medicine and biological products,and metal and nonmetal industries.The destination cities were mostly those home to educational and scientific research centers.The production urban network’s leading sub-industries were the mechanical equipment,instrument,and food and beverage industries.The destination cities were mostly regional central cities in developing countries.The sales urban network’s leading sub-industries were the mechanical equipment and instrument,metal and nonmetal,and petrochemical and plastics industries.The destination cities were numerous and scattered.In addition,the R&D urban network easily formed specialized clusters,core nodes easily controlled the production urban network,and individual nodes did not easily control the sales urban network.Technological and economic system advantages greatly impacted the three network types.Considering the different influencing factors,this study suggests optimizing the institutional investment environment to narrow the institutional gap,adjusting and optimizing the investment layout to expand overseas markets,and increasing R&D funds to stimulate technological progress and overseas investments in western China.

Forecasting Foreign Direct Investment to Zambia: A Time Series Analysis

Three methods are considered in this paper: Simple exponential smoothing (SES), Holt-Winters exponential smoothing (HWES) and autoregressive integrated moving average (ARIMA). The best fit model was then used to forecast Zambia’s annual net foreign direct investment (FDI) inflows from 1970 to 2014. Foreign direct investment is foreign capital investment to Zambia. Throughout the paper the methods are illustrated using Zambia’s annual Net FDI inflows. A comparison of the three methods shows that the ARIMA (1, 1, 5) is the best fit model because it has the minimum error. Forecasting results give a gradual increase in annual net FDI inflows of about 44.36% by 2024. Forecasting results plays a vital role to policy makers. Decision making, coming up with good policies and suitable strategic plans, depends on accurate forecasts. Zambian FDI policy makers can use the results obtained in this study and create suitable strategic plans to promote FDI.

Empirical Study of China＇s Outward Foreign Direct Investment for 2001-2008

China＇s outward FDI has been increasing recently, as the country＇s policies over industrialization and national security change. Using financial data of 244 Chinese enterprises, this study empirically investigates the patterns and determinants of China＇s outward FDI from 2001 to 2008 for its seven major destinations. Tobit and multiple regression analyses indicate that early Chinese FDI in 2001 and 2002 is concentrated in the labor-intensive industries in Asia, like those of early Japanese FDI in the early 1970s as well as those of Korean FDI in 1990s. The results also indicate that non-production oriented manufacturers invested in North America, in order to seek for market cultivation, technological advance, R＆D skills, and name brands. We also found that the central state-owned enterprises are the key FDI players in the continents with locational disadvantages

Does Foreign Direct Investment Affect S0_(2) Emissions in the Yangtze River Delta?A Spatial Econometric Analysis

As the major source of air pollution,sulfur dioxide(S0_(2))emissions have become the focus of global attention.However,existing studies rarely consider spatial effects when discussing the relationship between foreign direct investment(FDI)and S0_(2) emissions.This study took the Yangtze River Delta as the research area and used the spatial panel data of 26 cities in this region for 2004-2017.The study investigated the spatial agglomeration effects and dynamics at work in FDI and S0_(2) emissions by using global and local measures of spatial autocorrelation.Then,based on regression analysis using a results of traditional ordinary least squares(OLS)model and a spatial econometric model,the spatial Durbin model(SDM)with spatial-time effects was adopted to quantify the impact of FDI on S0_(2) emissions,so as to avoid the regression results bias caused by ignoring the spatial effects.The results revealed a significant spatial autocorrelation between FDI and S0_(2) emissions,both of which displayed obvious path dependence characteristics in their geographical distribution.A series of agglomeration regions were observed on the spatial scale.The estimation results of the SDM showed that FDI inflow promoted S0_(2) emissions,which supports the pollution haven hypothesis.The findings of this study are significant in the prevention and control of air pollution in the Yangtze River Delta.

Threshold Effects in the Capital Account Liberalization and Foreign Direct Investment Relationship

This paper examines how capital account liberalization （CAL） affects foreign direct investment （FDI） inflows. Authors use a dynamic panel model encompassing 14 Middle East countries over the period from 1985 to 2009. The findings suggest that countries that are able to reap the benefits of the capital openness policy satisfy certain threshold conditions regarding the level of financial development and institutional quality. Thus to promote FDI, governments in this region should develop a set of policies that not only focus on financial openness, but also on the improvement of the financial system and legal institutions.

The Impact of the World Trade Organization （WTO） Regime on Foreign Direct Investment （FDI） Flows to Vietnam： A Gravity Model Approach

Foreign direct investment （FDI） has taken an important role in Vietnam＇s development process since the launch of Renovation in 1986. After Vietnam＇s accession to the World Trade Organization （WTO）, a large amount of FDI capital flowed into the country, up to 143,950.3 million USD. Wherein, there was a switching of FDI capital from the manufacturing sector to the service one in tandem with a downward trend in the agriculture. Like the previous duration, Vietnam＇s FDI capital sources came mostly from Asia-Pacific region and European economies （net capital, technology exporters） probably caused by Vietnam＇s integration emphases on dynamic Asia-Pacific region. Geographical location of FDI was characterized by a concentration on the three main key economic regions： the Red River Delta （surrounding Ha Noi, Hai Phong, and Quang Ninh）, the Central region （surrounding Da Nang）, and the Southeast of the country （surrounding Ho Chi Minh City） owing to good infrastructure, abundance of skillful labor force, and large market size. By constructing a gravity model, using descriptive, quantitative methods and applying them to recent data set by Vietnam＇s authorities and the international organizations during the period from 1995 to 2011 of 18 Vietnam＇s major country partners, the author finds evidence broadly consistent with the prediction that the WTO has had a positive impact on FDI flows to Vietnam.

LOCATIONAL DISTRIBUTION AND SPATIAL DIFFUSION OF FOREIGN DIRECT INVESTMENTS FROM HONGKONG AND MACAO IN MAINLAND OF CHINA

Foreign direct investments (or FDIs) have been employed since the early 1980s and they have become more and more immportant in Chinese economic development. However, the roles of FDIs are very different between regions, partly due to the different locational preference of various source countries. Some facts show that FDIs from Hongkong - Macao indicate a strong locational preference. Therefore, this paper attempts to make an empirical research on the locational preference of Hongkong - Macao’s FDIs and their spatial diffusion under the support of statistical data with regrereion analysis. In this paper, three statistical models, including the special location model, the general location model and the spatial diffusion model, are created. The results show that this kind of analysis is successful. The major conclusions are as follows. (1) The optimum location for FDIs from Hongkong - Macao lies in the coastal area, especially Guangdong, Hainan, Jiangsu, Shandong, Fujian provinces. Besides, Hubei Province is also an important radon. (2) The FDIs from HongkongMacao in China have diffused gradually from the coastal provinces to the inland regions, the northem and the metropolis and from the locations that had attracted a large number of investments to their vicinities since the 1990s. (3) The special location factors, such as the herder effect, the unique social and kinship ties are the key factors determining the special locational distribution. (4) The general location and spatial diffusion of Hongkong - Macao’s FDIs are the results of interplay of several economic factors. They are the economic scale and advantage, the growth rate, the laier force and economic extrovert etc.

REGIONAL STRUCTURE OF CAPITAL MARKET OF FOREIGN DIRECT INVESTMENT IN CHINA’S MAINLAND

Since China's reform and open door, the countries and regions of direct investment in China's mainland have been increasing. In 1995, the amount of foreign direct investment (FDI) in China was US$ 37.81 billion that was from more than 170 countries and regions. The regional structure of capital market of FDI in China has three characteristics: (1) The most of FDI was from the near countries or regions, Hong Kong Macao, Taiwan, Japan, South Korea, Thailand and Malaysia provided 80.3% of the amount of FDI in 1995. (2) Only several countries and regions provided most of FDI in China. (3) According to the contributory rate, the main capital market of FDI in China could be divided into four classes, including the guiding market, subsidiary market, new and development market, opportunity market. Most of FDI in China was from the developing countries and regions, which had a negative effect on the size and technical level of foreign capital enterprises. The author puts forward the countermeasures to improve the regional structure of capital market: (1) to keep the guiding market stable, (2) to open up chiefly the subsidiary market, (3) to guide actively the new and developing market, (4) to try hard to start the opportunity market.

FOREIGN DIRECT INVESTMENT AND ITS IMPACT ON CHINA'S ECONOMY: A RESEARCH APPRAISAL

Foreign direct investment (FDI) and the development of the hosted nations is a major issue facing researchers in many disciplines, especially in economic geography. This paper reviews the current available literature pertaining to the impact of FDI on the economic development in China, and emphasizes four points. First, although China is the second largest of FDI recipient and one of the fastest growing nations in the world, it has not drawn enough attention of researchers on the topic. And very few publications are found specifically focusing on the economic impact of FDI. Second, many areas of the impact of FDI have remained untouched. Particularly, there are needs for further studies to address the impact of FDI on efficient use of resources and overall competitiveness of the country. Third, in the theoretical aspect, research should explore the nature of bargaining power of all participants. Finally, it is suggested to select a number of case study areas and foreign funded enterprises for in depth studies.

Present Situation, Problems and Way Out of Direct Investment By Japanese Enterprises in China

Japan is the largest trade mate of China. But the share of Japanese direct investment in China among all foreign direct Investments is becoming smaller and smaller. Most Japanese related enterprises in China are running badly. This is the result of the "swan ranks development model" . Workers employed by Japanese manufacturing industry are becoming fewer and fewer as a result of shifting production workshops abroad; on the other hand, resold goods from overseas Japanese related enterprises to Japan are becoming more and more. This phenomenon is called "industry hollowing out", the process of which is nothing, but the process of alliance of regional economy in Southeast Asia, creating large space for the development of new manufacturing industries in Japan. This is inevitable for Japan, who desires to be an economical power in the world. The way out of Japanese related enterprises in China is to rush out of the influence of the "swan ranks" model.

Analysis of the Impact of Asian Financial Crisis on Shanghai's Utilization of Foregin Direct Investment

The Asian financial crisis has increasingly shown its in-fluence on the utilization of foreign direct investment inShanghai. To further explain this, the main factors thatplay important roles in the decision of foreign direct in-vestment in Shanghai are analyzed. The extent of influ-ence is measured according to the changes of those decis-ive factors. A simple linear regression model is intro-duced to help the analysis.

Impact of China’s Outward Foreign Direct Investment on Enterprise Performance

The present study seeks to address two fundamental questions.(1)Does outward foreign direct investment(OFDI)enhance enterprise performance ultimately?(2)How does this effect come about?A new dataset from the years 2011 to 2016 based on the micro-data of 88 Chinese multinational-listed enterprises was used to test research hypotheses with the mediating effect modeling approach.The study results reveal that:(1)the investment intensity has a positive influence,while investment span has a negative influence on enterprise performance;(2)the enhanced innovation capability can considerably increase the enterprise performance,while investment intensity and span both hinder the upgrading of innovation capability;and(3)the innovation capability of an enterprise plays a partial intermediary role among investment span and enterprise performance.However,there is no mediating effect between investment intensity,innovation ability,and enterprise performance.

Seeking new growth hotspots in absorbing foreign direct investment

In recent years, China’s service industries have absorbed an increasing amount of foreign direct investment (FDI); foreign investors have taken wholly foreign-owned enterprise (WFOE) as the most preferred vehicle of making investment in China; free ports have become a major source of FDI inflows to China; China’s FDI inflows as a percentage of global FDI inflows have been in decline. In the export-oriented or import-substitution manufacturing industries, China still needs to vigorously absorb FDI in the future. In addition, China should continue opening its infrastructure and social service industries. It is therefore imperative to further improve the institutional and policy environment for foreign investment utilization.

New-Wave Emerging Multinational Companies： The Determinants of Their Outward Foreign Direct Investment

Focusing on the fast growth of BRICS＇ outward foreign direct investment （OFDI） and multinational companies during the crisis has left unheeded that some other emerging economies also grow much faster than average in the global economy and has become significant and fast-growing direct investors abroad. A sample of such （thirteen） new-wave emerging countries （NWECs） is gathered on the criterion of being ranked among the most significant foreign direct investors in the global economy. The literature review exhibits only very few articles existing on such a topic so far. Descriptive statistics enable tracing OFDI by NWECs-based multinational companies back to the 1970s, checking its geographical orientation and industrial structure, and assessing the relative importance of cross-border mergers and acquisitions. Econometric estimation exhibits that direct investment moving off the NWECs is explained by so-called push factors such as the home country＇s GDP, GDP per capita, GDP rate of growth, the share of high-technology exported products in overall export, the number of technological patents registered, and how much inward foreign direct investment discussed in the light of Dunning＇s investment development hypothesis. stock has previously been hosted. These results are path model and Matthews＇ linkage-leverage learning

Foreign direct investment and environmental pollution:A fiscal decentralization perspective

Based on the panel data of 272 prefecture-level cities in China from 2003 to 2017,this study used the comprehensive index of environmental pollution to measure local environmental pollution,and employed the panel simultaneous equation to analyze the relationship between fiscal decentralization,foreign direct investment,and environmental pollution.The results showed that environmental pollution has the characteristics of time inertia and positive spatial spillover;fiscal decentralization and local government competition have a significant“race to bottom”effect on environmental pollution;and with the increase of fiscal decentralization,environmental quality will deteriorate.In the interaction between foreign direct investment and environmental pollution under the system of fiscal decentralization,foreign direct investment aggravates environmental pollution.Meanwhile,if the environmental pollution in a given region is serious,the willingness of foreign investors to invest therein is lessened to a certain extent.Based on the conditions in China,certain policy suggestions are put forward to increase environmental quality,such as building a comprehensive performance assessment mechanism that includes environmental quality,optimizing the decentralization system,and raising the threshold of foreign investment access.

Environmental regulation,hidden economy,and China's outward foreign direct investment

The need to balance economic growth and its environmental impact continues to be a serious issue in China.As environmental regulation in China increases in importance,it is critical to understand how it impacts economic growth drivers such as outward foreign direct investment(OFDI)to formulate effective policies.One consideration should be the hidden economy,which can weaken the effects of environmental regulation on OFDI.This study investigates the scale of the hidden economy in 30 provinces and province-level municipalities in China in the period 2004 to 2015.The study uses the multiple indicators and multiple causes(MIMIC)model and the systematic generalized method of moments(GMM)test to analyze the impact of environmental regulation and the hidden economy on China's OFDI.The results show that stronger environmental regulation promotes OFDI.However,the hidden economy inhibits China's OFDI,as the positive effects of environmental regulation that drive OFDI are distorted.From a regional perspective,stronger environmental regulation promotes OFDI as well,while the hidden economy inhibits it.The interaction between environmental regulation and the hidden economy also inhibits it significantly.

Impact of China’s outward foreign direct investment on environmental pollution in the home country

In the context of economic globalization and increasingly tight resource and environmental constraints,the environmental effect of open economy has been highly concerned by the academic community.With the implementation of the“Going Global”campaign and the“Belt and Road Initiative”,China’s OFDI has been expanding.What is the impact of the rapid growth of OFDI on the home environment?How can China improve the quality and level of OFDI in order to promote domestic green development under the dual context of constructing a new dual circulation development pattern and advocating green development?These questions deserve further discussion.Most of the existing literature focuses on the empirical interpretation of OFDI’s home country environmental effect by using linear models,while few involve nonlinear models.The literature on the important role of financial development in home country and the threshold effect of OFDI on home country environment is even less common.In view of this,based on the mechanism of argumentation and propositional inference,this paper calculated the environmental pollution index of 30 provinces in China from 2003 to 2017 by using China’s provincial panel data of these years and selecting industrial waste water,industrial waste gas,industrial SO_(2),and industrial soot emissions and industrial solid waste production amount index.Then,this paper empirically studied China's OFDI home environment of financial development threshold effect by constructing financial development as the threshold variables panel threshold model.The results showed that:①China’s OFDI had a significant impact on the environment of the home country,based on the level of financial development of the home country.When China’s financial development level was lower than the first threshold value,China’s OFDI had a significant restraining effect on environmental pollution in the home country.When China’s financial development level crossed the first threshold value but did not exceed the second threshold value,China’s OFDI significantly enhanced its inhibiting effect on environmental pollution in its home country.When China’s financial development level was higher than the second threshold value,the inhibiting effect of China’s OFDI on environmental pollution in the home country was further enhanced.②In the sample period,the financial development level of most provinces in China was not high.Only a few provinces with high financial development level had a strong inhibiting effect on environmental pollution in their home country,and the provinces with a high degree of coupling and coordination between OFDI and financial development tended to have a low level of environmental pollution.Accordingly,this paper proposes to optimize the financial service environment of OFDI,improve the green technology content of OFDI,and strengthen the original innovation and re-innovation ability of green technology.