Regional Disparity of Foreign Direct Investment in China and its Dynamics 1984-2003

the volume of Foreign Direct Investment (FDI) in China kept on increasing after open and reform policy. But Its regional distribution were screwed and had distinct spatial characteristics This paper examined regional disparity of Foreign Direct Investment In China from 1984 to 2003 among four macro-regions, which was Eastern Northeastern, Middle and Western regions divided with regional policies change. Most FDI were located in coastal areas. Regional absolute disparity increased while the relative disparity decreased gradually. Contribution of inter regional disparity was more important than that of intra regional disparity with the decomposition of Theil index. The effects of other factors of Investment climate on the spatial distribution of FDI were more important than regional policy did. Much attention should be paid on developing Infrastructure and good governance to promoting FDI in Inland.