Research on the Impact of Foreign Direct Investment on the Economic Growth of the Yangtze River Delta Urban Agglomerations

Using panel data at the city level from 2005 to 2017, this article empirically studies the impact of foreign direct investment (FDI) on economic growth in coastal city clusters in the Yangtze River delta urban agglomerations. The study found that FDI can significantly improve the economic growth of the Yangtze River delta urban agglomeration, labor force, foreign trade, and financial level; residents' education level can also increase economic growth. However, the impact of urban area and the number of industrial enterprises on economic growth are not significant. The same conclusion can be reached in the Beijing-Tianjin-Hebei urban agglomeration. The difference is that the higher the proportion of the primary and the secondary industries in the Yangtze River delta urban agglomeration, the higher the proportion of tertiary industry that is not conducive to economic growth. The proportion of the three major industries in the Beijing-Tianjin-Hebei urban agglomeration has no important impact on economic growth.