Contents: Preface, D. Gale Johnson Introduction, Aimin Chen, Gordon G. Liu and Kevin H. Zhang. Ch... more Contents: Preface, D. Gale Johnson Introduction, Aimin Chen, Gordon G. Liu and Kevin H. Zhang. Characteristics of China's Urbanization: Can agricultural labor adjustment occur primarily through creation of rural nonfarm jobs in China?, D. Gale Johnson The evolution of China's urban transformation since 1949, Kevin H. Zhang Political capacity and demographic change: a study of China with a comparison to India, Yi Feng and Siddharth Swaminathan Structure and strategy for in situ rural urbanization, Qi Hong Dong. Changing Urban Population: Determinants of urban migration, Aimin Chen and N. Edward Coulson Urban population in the reform era, Jeff Kejing Xie and Kevin Honglin Zhang Floating population: definitions, data, and recent findings, Daniel Goodkind and Loraine A. West Hukou systems and migration controls, Fei-Ling Wang. Urban Spatial Structures: Spatial dynamics of city-size distribution, Shunfeng Song and Kevin H. Zhang Spatial distribution of industries and cities: Coordination between industrial and urban development, Mei Wen How do industrialization and urbanization affect land use?, Xiaobo Zhang. Urban Growth and Productivity: Urban economic growth, Shuanglin Lin and Shunfeng Song Agglomeration economics in Chinese cities: an empirical study, Zuohong Pan and Fan Zhang Hong Kong: from entrepot to manufacturing and then to producer services, Zhigang Tao and Y.C. Richard Wong Shanghai rising: resurgence of China's New York City?, Hanchao Lu About the editors Index.
There are many studies on the role of foreign direct investment (FDI) in host country exports; cr... more There are many studies on the role of foreign direct investment (FDI) in host country exports; crosscountry analyses with the most recent years, however, have been limited. This paper attempts to close the gap by using the data for 94 countries over the period 1980-2010. Four different proxies for the FDI variable are used in both cross-sectional and panel estimations. We find that the impact of FDI on exports is predominantly positive and the positive effects increased over the period 1980-2010. While FDI is shown to enhance host-country exports in the short run, its long-run export-promoting effects seem to be strong as well.
The location decisions of Taiwanese direct investment (TDI) in China are analyzed using a conditi... more The location decisions of Taiwanese direct investment (TDI) in China are analyzed using a conditional logit model at provincial level. We assess the factors that determine the establishment of Taiwanese new manufacturingbranch-plants in China for three sub-periods (1987-90, 1991-94, and 1995-98). The results indicate that Taiwanese firms prefer the provinces with superior infrastructure and basic industrial activities, along with abundant skilled labor and growing market size. Cultural proximity and favorable FDI incentives are also attractive to TDI. While labor cost has been recognized as one of major motives for TDI in China, cross-province differentials in manufacturing wages seem not affect the site-selection of Taiwanese firms. JEL: F21, F23, O53
Economia Internazionale/International Economics, 2005
While foreign direct investment (FDI) by multinational corporations (MNCs) has become increasingl... more While foreign direct investment (FDI) by multinational corporations (MNCs) has become increasingly important in economic growth since the early 1990s, empirical studies on the role of host-country markets, a key determinant of FDI flows, have been limited. This paper seeks ...
Economia Internazionale/International Economics, 2000
A model of North-South multinational enterprises (MNEs) is constructed in which both horizontal a... more A model of North-South multinational enterprises (MNEs) is constructed in which both horizontal and vertical MNEs anse endogenously. While honizontal MNEs are more active when host countries become more similar in national income and human capital, vertical MNEs are ...
... Economics 53, no. 2: 23760. . 2006. FDI and Host Countries' Exports: The Case of Chi... more ... Economics 53, no. 2: 23760. . 2006. FDI and Host Countries' Exports: The Case of China. Economia Internazionale / International Economics 58, no. 4: 11327. Zhang, KH, and J. Markusen. 1999. Vertical Multinationals and ...
The role of foreign direct investment (FDI) continues to be debated and tested in the literature ... more The role of foreign direct investment (FDI) continues to be debated and tested in the literature on international economics and development economics. This paper extends the previous empirical studies on the issue by developing a new framework and providing some evidence from panel data of China. We first identify possible channels through which FDI may affect (positively or negatively) the Chinese economy. Then we work on a growth model, in which direct effects and spillovers of FDI are specified. The provincial data over the period of 1992-2004 are used to assess to what extent the remarkable FDI inflows affect China’s income growth. The results suggest that FDI seems to promote income growth, and that this positive growth-effect seems to rise over time and to be stronger in the coastal than the inland regions. JEL Code: F21, F23, and O53. Key word: Foreign direct investment; economic growth; spillovers. * This paper is prepared for the conference of “WTO, China and Asian Economie...
China has been transforming from a rural to an urban economy over the past century, especially si... more China has been transforming from a rural to an urban economy over the past century, especially since 1978 when economic reforms were initiated and rapid economic growth began. This paper attempts to investigate what factors contributed to the rising urbanisation in the period 1978-2000, based on time-series and cross-section analyses. We find that the main driving-forces behind urbanisation, besides changes in urban policy, are economic growth, structural changes and especially inflows of foreign direct investment (FDI). The causal link runs from economic growth to urbanisation and not vice versa. FDI inflows contribute greatly to the coast-inland differences in the rate of urbanisation. Geographical and historical factors have a significant impact on regional urbanisation levels and a high initial level of urbanisation curtails a province's subsequent urban growth.
... in income and the much-hyped growth of the new economy. Indeed, rapid technical progress ma... more ... in income and the much-hyped growth of the new economy. Indeed, rapid technical progress makes industrialization even more ... recent study by UNIDO (2002) identified five drivers that are directly relevant to in-dustrial competitiveness: skills, technological effort, inward ...
The location decisions of Taiwanese direct investment (TDI) in China are analyzed using a conditi... more The location decisions of Taiwanese direct investment (TDI) in China are analyzed using a conditional logit model at provincial level. We assess the factors that determine the establishment of Taiwanese new manufacturingbranch-plants in China for three sub-periods (1987-90, 1991-94, and 1995-98). The results indicate that Taiwanese firms prefer the provinces with superior infrastructure and basic industrial activities, along with abundant skilled labor and growing market size. Cultural proximity and favorable FDI incentives are also attractive to TDI. While labor cost has been recognized as one of major motives for TDI in China, cross-province differentials in manufacturing wages seem not affect the site-selection of Taiwanese firms.
Over the period 1978–2016, more than 550 million migrants moved to China’s cities, resulting in a... more Over the period 1978–2016, more than 550 million migrants moved to China’s cities, resulting in a large rise of urbanization from 18 to 57%. While urbanization is influenced by many factors, this study focuses on industrialization, a key structural determinant of urban development. How does industrial development affect China’s urbanization? Does China’s industrialization lead to its urbanization? Is China under- or over-urbanized? How does China manage urban development so that the virtuous circle between urbanization and industrialization could realize? This chapter offers explanations to the questions as follows: China’s rapid industrialization is the key driver of its urbanization; China’s urban development is at the right speed, avoiding many problems of over-urbanization in developing countries; and China successfully guided urbanization to promote economic growth through agglomeration and consumption effects.
Contents: Preface, D. Gale Johnson Introduction, Aimin Chen, Gordon G. Liu and Kevin H. Zhang. Ch... more Contents: Preface, D. Gale Johnson Introduction, Aimin Chen, Gordon G. Liu and Kevin H. Zhang. Characteristics of China's Urbanization: Can agricultural labor adjustment occur primarily through creation of rural nonfarm jobs in China?, D. Gale Johnson The evolution of China's urban transformation since 1949, Kevin H. Zhang Political capacity and demographic change: a study of China with a comparison to India, Yi Feng and Siddharth Swaminathan Structure and strategy for in situ rural urbanization, Qi Hong Dong. Changing Urban Population: Determinants of urban migration, Aimin Chen and N. Edward Coulson Urban population in the reform era, Jeff Kejing Xie and Kevin Honglin Zhang Floating population: definitions, data, and recent findings, Daniel Goodkind and Loraine A. West Hukou systems and migration controls, Fei-Ling Wang. Urban Spatial Structures: Spatial dynamics of city-size distribution, Shunfeng Song and Kevin H. Zhang Spatial distribution of industries and cities: Coordination between industrial and urban development, Mei Wen How do industrialization and urbanization affect land use?, Xiaobo Zhang. Urban Growth and Productivity: Urban economic growth, Shuanglin Lin and Shunfeng Song Agglomeration economics in Chinese cities: an empirical study, Zuohong Pan and Fan Zhang Hong Kong: from entrepot to manufacturing and then to producer services, Zhigang Tao and Y.C. Richard Wong Shanghai rising: resurgence of China's New York City?, Hanchao Lu About the editors Index.
There are many studies on the role of foreign direct investment (FDI) in host country exports; cr... more There are many studies on the role of foreign direct investment (FDI) in host country exports; crosscountry analyses with the most recent years, however, have been limited. This paper attempts to close the gap by using the data for 94 countries over the period 1980-2010. Four different proxies for the FDI variable are used in both cross-sectional and panel estimations. We find that the impact of FDI on exports is predominantly positive and the positive effects increased over the period 1980-2010. While FDI is shown to enhance host-country exports in the short run, its long-run export-promoting effects seem to be strong as well.
The location decisions of Taiwanese direct investment (TDI) in China are analyzed using a conditi... more The location decisions of Taiwanese direct investment (TDI) in China are analyzed using a conditional logit model at provincial level. We assess the factors that determine the establishment of Taiwanese new manufacturingbranch-plants in China for three sub-periods (1987-90, 1991-94, and 1995-98). The results indicate that Taiwanese firms prefer the provinces with superior infrastructure and basic industrial activities, along with abundant skilled labor and growing market size. Cultural proximity and favorable FDI incentives are also attractive to TDI. While labor cost has been recognized as one of major motives for TDI in China, cross-province differentials in manufacturing wages seem not affect the site-selection of Taiwanese firms. JEL: F21, F23, O53
Economia Internazionale/International Economics, 2005
While foreign direct investment (FDI) by multinational corporations (MNCs) has become increasingl... more While foreign direct investment (FDI) by multinational corporations (MNCs) has become increasingly important in economic growth since the early 1990s, empirical studies on the role of host-country markets, a key determinant of FDI flows, have been limited. This paper seeks ...
Economia Internazionale/International Economics, 2000
A model of North-South multinational enterprises (MNEs) is constructed in which both horizontal a... more A model of North-South multinational enterprises (MNEs) is constructed in which both horizontal and vertical MNEs anse endogenously. While honizontal MNEs are more active when host countries become more similar in national income and human capital, vertical MNEs are ...
... Economics 53, no. 2: 23760. . 2006. FDI and Host Countries' Exports: The Case of Chi... more ... Economics 53, no. 2: 23760. . 2006. FDI and Host Countries' Exports: The Case of China. Economia Internazionale / International Economics 58, no. 4: 11327. Zhang, KH, and J. Markusen. 1999. Vertical Multinationals and ...
The role of foreign direct investment (FDI) continues to be debated and tested in the literature ... more The role of foreign direct investment (FDI) continues to be debated and tested in the literature on international economics and development economics. This paper extends the previous empirical studies on the issue by developing a new framework and providing some evidence from panel data of China. We first identify possible channels through which FDI may affect (positively or negatively) the Chinese economy. Then we work on a growth model, in which direct effects and spillovers of FDI are specified. The provincial data over the period of 1992-2004 are used to assess to what extent the remarkable FDI inflows affect China’s income growth. The results suggest that FDI seems to promote income growth, and that this positive growth-effect seems to rise over time and to be stronger in the coastal than the inland regions. JEL Code: F21, F23, and O53. Key word: Foreign direct investment; economic growth; spillovers. * This paper is prepared for the conference of “WTO, China and Asian Economie...
China has been transforming from a rural to an urban economy over the past century, especially si... more China has been transforming from a rural to an urban economy over the past century, especially since 1978 when economic reforms were initiated and rapid economic growth began. This paper attempts to investigate what factors contributed to the rising urbanisation in the period 1978-2000, based on time-series and cross-section analyses. We find that the main driving-forces behind urbanisation, besides changes in urban policy, are economic growth, structural changes and especially inflows of foreign direct investment (FDI). The causal link runs from economic growth to urbanisation and not vice versa. FDI inflows contribute greatly to the coast-inland differences in the rate of urbanisation. Geographical and historical factors have a significant impact on regional urbanisation levels and a high initial level of urbanisation curtails a province's subsequent urban growth.
... in income and the much-hyped growth of the new economy. Indeed, rapid technical progress ma... more ... in income and the much-hyped growth of the new economy. Indeed, rapid technical progress makes industrialization even more ... recent study by UNIDO (2002) identified five drivers that are directly relevant to in-dustrial competitiveness: skills, technological effort, inward ...
The location decisions of Taiwanese direct investment (TDI) in China are analyzed using a conditi... more The location decisions of Taiwanese direct investment (TDI) in China are analyzed using a conditional logit model at provincial level. We assess the factors that determine the establishment of Taiwanese new manufacturingbranch-plants in China for three sub-periods (1987-90, 1991-94, and 1995-98). The results indicate that Taiwanese firms prefer the provinces with superior infrastructure and basic industrial activities, along with abundant skilled labor and growing market size. Cultural proximity and favorable FDI incentives are also attractive to TDI. While labor cost has been recognized as one of major motives for TDI in China, cross-province differentials in manufacturing wages seem not affect the site-selection of Taiwanese firms.
Over the period 1978–2016, more than 550 million migrants moved to China’s cities, resulting in a... more Over the period 1978–2016, more than 550 million migrants moved to China’s cities, resulting in a large rise of urbanization from 18 to 57%. While urbanization is influenced by many factors, this study focuses on industrialization, a key structural determinant of urban development. How does industrial development affect China’s urbanization? Does China’s industrialization lead to its urbanization? Is China under- or over-urbanized? How does China manage urban development so that the virtuous circle between urbanization and industrialization could realize? This chapter offers explanations to the questions as follows: China’s rapid industrialization is the key driver of its urbanization; China’s urban development is at the right speed, avoiding many problems of over-urbanization in developing countries; and China successfully guided urbanization to promote economic growth through agglomeration and consumption effects.
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