The Effect of Inflow Foreign Direct Investment on China's Trade Surplus

摘要

The reason why the China's trade surplus is large-scaled and persistent is mainly FDI brought by the global industry transfer. In this paper we not only analyze the impact of FDI on the trade balance of host country from the qualitative perspective, but also adopting SURE to test the relationship between the inflow FDI and the trade surplus in China from the quantitative perspective.