The Effect of Foreign Entry Regulation on Downstream Productivity: Microeconomic Evidence from China*
研究中国1997-2007年间上游制造业和服务业的外资进入管制如何通过投入产出关联抑制下游制造企业的生产率，并发现该效应受行业和企业特征影响。
Abstract We examine the cross‐industry influence of foreign entry regulation (based on a novel measure) on the productivity outcomes of downstream firms through input–output linkages in China. In contrast to the significant liberalization of the manufacturing sector, restrictions on the service sector remained stringent over the period 1997–2007. We find a powerful depressant effect of foreign entry barriers imposed on the upstream manufacturing and service industries on the productivity of downstream manufacturers, and this effect depends on a number of industry‐ and firm‐specific features. Our research calls for further investment liberalization (particularly in the service sector) in China.