Research Article
Empirical Research on the Development Effect of China's "Belt and Road Initiative" Outward Foreign Direct Investment on Countries along the Routes ——Analysis Based on Linear Regression Algorithm
@INPROCEEDINGS{10.4108/eai.19-5-2023.2334272, author={Diyan Zhou and Luyuan Yang}, title={Empirical Research on the Development Effect of China's "Belt and Road Initiative" Outward Foreign Direct Investment on Countries along the Routes ------Analysis Based on Linear Regression Algorithm}, proceedings={Proceedings of the 2nd International Conference on Bigdata Blockchain and Economy Management, ICBBEM 2023, May 19--21, 2023, Hangzhou, China}, publisher={EAI}, proceedings_a={ICBBEM}, year={2023}, month={7}, keywords={bri; ofdi; hdi;}, doi={10.4108/eai.19-5-2023.2334272} }- Diyan Zhou
Luyuan Yang
Year: 2023
Empirical Research on the Development Effect of China's "Belt and Road Initiative" Outward Foreign Direct Investment on Countries along the Routes ——Analysis Based on Linear Regression Algorithm
ICBBEM
EAI
DOI: 10.4108/eai.19-5-2023.2334272
Abstract
Theoretically, outward foreign direct investment (OFDI) can promote the economic and social development of host countries through capital formation effect, technology spillover effect and industrial upgrading effect, as well as influencing employment and finance. Countries with different levels of economic development have different abilities to absorb and utilize foreign capital. This paper uses linear regression algo-rithm to test the impact of China's "Belt and Road Initiative" (BRI) OFDI on the Human Development Index (HDI) of countries along the BRI. The result shows that China's BRI OFDI can promote the economic and social development of the countries along the routes, which answers the relevant doubts. Meanwhile, the development ef-fect of OFDI is more significant in countries with high-income levels than in coun-tries with low-income levels. To maintain positive economic interaction between China and countries along the BRI, China should continue to implement the concept of inclusive development, improve cooperation mechanisms, give play to the role of enterprises, and break the stigma of BRI from international opinion.
