IDEAS home Printed from https://ideas.repec.org/a/mes/emfitr/v53y2017i9p2020-2038.html
   My bibliography  Save this article

Institutional Environment, OFDI, and TFP Growth: Evidence from China

Author

Listed:
  • Yaoguo Wu
  • Yuegang Song
  • Guoying Deng

Abstract

Using Chinese Industrial Enterprise Database and Foreign Investment Enterprises database (2003–2007), this article studies the impact of institutional environment and outward foreign direct investment (OFDI) on total factor productivity (TFP) at firm and provincial level. The results show that good institutional environment is conducive to firm and provincial level TFP growth, OFDI also proves to be positive. Considering spatial correlation, provinces with strong TFP have negative impact on adjacent provinces. For different ownership enterprises in home country, favorable institutional environment promotes the TFP growth of private enterprises, while OFDI has a significant positive effect on the TFP growth of both private and foreign-invested enterprises, the TFP of private enterprises show obvious polarization effect.

Suggested Citation

  • Yaoguo Wu & Yuegang Song & Guoying Deng, 2017. "Institutional Environment, OFDI, and TFP Growth: Evidence from China," Emerging Markets Finance and Trade, Taylor & Francis Journals, vol. 53(9), pages 2020-2038, September.
    • Handle: RePEc:mes:emfitr:v:53:y:2017:i:9:p:2020-2038
    DOI: 10.1080/1540496X.2017.1283612
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/1540496X.2017.1283612
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/1540496X.2017.1283612?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Xiaoling Zhang & Decai Tang & Brandon J. Bethel, 2021. "Analyzing the Characteristics and Evolution of Chinese Enterprises’ Outward Forward Direct Investment Host Country Network," Sustainability, MDPI, vol. 13(17), pages 1-19, September.
    2. Razzaq, Asif & An, Hui & Delpachitra, Sarath, 2021. "Does technology gap increase FDI spillovers on productivity growth? Evidence from Chinese outward FDI in Belt and Road host countries," Technological Forecasting and Social Change, Elsevier, vol. 172(C).
    3. Xiaoling Zhang & Decai Tang & Yi Li & Valentina Boamah & Yisi Liu, 2022. "Analysis of OFDI Industry Linkage Network Based on Grey Incidence: Taking the Jiangsu Manufacturing Industry as an Example," Sustainability, MDPI, vol. 14(9), pages 1-17, May.
    4. Wang, Di & Shao, Xuefeng, 2024. "Research on the impact of digital transformation on the production efficiency of manufacturing enterprises: Institution-based analysis of the threshold effect," International Review of Economics & Finance, Elsevier, vol. 91(C), pages 883-897.
    5. Sun, Yunpeng & Razzaq, Asif & Kizys, Renatas & Bao, Qun, 2022. "High-speed rail and urban green productivity: The mediating role of climatic conditions in China," Technological Forecasting and Social Change, Elsevier, vol. 185(C).
    6. Bin Li & Shuai Shi & Yating Zeng, 2020. "The Impact of Haze Pollution on Firm-Level TFP in China: Test of a Mediation Model of Labor Productivity," Sustainability, MDPI, vol. 12(20), pages 1-21, October.
    7. Lei, Xiao & Chen, Xueli & Zhang, Bin, 2024. "Unleashing the spillover potential: Exploring the role of technology-seeking investment in driving green innovation of host countries," Technological Forecasting and Social Change, Elsevier, vol. 200(C).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:mes:emfitr:v:53:y:2017:i:9:p:2020-2038. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/MREE20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.