Study on Regional Differences of Spillover Effect of Foreign R&D in China

China's land area is vast and the regional differences are significant. The study on regional differences of spillover effect of foreign R&D in China is of great significance to the implementation of the regional policy formulation and innovation driven strategy. However, there are few studies on the regional differences of spillover effect. This paper makes a study on the regional differences of foreign R&D spillover effect in China based on panel data of Large and Medium-sized Industrial Enterprises. The results show that there are obvious differences between China eastern, central and western region of the influence of innovation output by foreign R&D investment. It turns out to be promoted eastern region's innovation output and inhibited central region's innovation output, in the western this inhibition become more prominent. Research results also indicate that foreign R&D will inhibit the innovation investment of three regions.