The Effects of FDI on Carbon Emission through Technical Channels: Evidence from Chinese Industrial Sectors

Abstract

<jats:p>In this paper, we examine the influence of foreign direct investment (FDI) on Chinese industrial carbon emission through technical channels. Based on data from Chinese 35 industrial sectors during 1999-2008, and using the different indicators which represent diverse technical effects channels, we investigate technology effects of FDI on Chinese industrial carbon emission. Results show that FDI do bring positive influence on Chinese carbon emission in industrial sectors through technical channels and these effects of FDI reach maximum one year later.</jats:p>