Foreign Direct Investment in Western China, 1994–2004

This book focuses on the FDI in western China and aims to explore the logic behind the regional development. From 1994 to 2004, China’s economy enjoyed a golden stage of rapid growth. As the top destination for foreign investment, China has integrated into the international production system and global value chain. However, it is apparent that the FDI distribution was unbalanced, as the eastern region absorbed far more FDI than its western counterpart, a situation that remained unchanged even after China launched the Western Development Strategy (WDS). This book begins with the question of why it is difficult to introduce FDI to western China, followed by discussion on the gap of technology, human capital, industrial foundation, location selection, institutional factors and investment environment between the western and eastern China. The author analyzes how the lack of FDI growth affects the long-term growth of the western region.

Introduction.- Technology Gap and Technology Transfer Through FDI in Western China.- Human Capital Gap and FDI Absorption of the Western Region.- An Analysis of the Influence of Industrial Base on FDI in Western China.- A Study on Location Issues of the Introduction of FDI in Western China.- Institutional Factors and the Introduction of FDI in China’s Western Region.

Yang Xianming is Professor and Doctoral Supervisor, Director of the Institute of Development Studies of Yunnan University. His main research interests are: economic development theory, mainly on the western economic development theory and the development of underdeveloped regions in China; international economic theory and policy, mainly on the theory of international direct investment and China's economic development, and open economy theory and policy.

Ning Huang works at Institute of Development Studies of Yunnan University.

Guoqing Zhao works at Institute of Development Studies of Yunnan University.