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Academic Journal of Business & Management, 2022, 4(3); doi: 10.25236/AJBM.2022.040314.

A study on the economic factors of foreign investment preference under the dual circulation pattern

Author(s)

Zhenbo Zhang1, Yidan Hui2

Corresponding Author:
Zhenbo Zhang
Affiliation(s)

1School of International Economics and Trade of Jiangxi University of Finance and Economics, 330013, China

2School of Management Science and Engineering of Central University of Finance and Economics, 100081, China

Abstract

Foreign capital is an important source of investment funds in the national economy. This paper selects the influencing factors of China's economic level to construct the index system, and uses the grey correlation model to analyze the exchange rate, the average wage growth rate of employees, commercial bank debt, and the annual growth rate of GDP. Research shows that: from an economic point of view, The exchange rate and the average wage growth rate of employees have a great impact on foreign investment. It also reveals the close relationship between foreign investment and China's economic development from the perspective of commercial bank debt and GDP annual growth rate. It provides a new perspective for China's foreign investment policy adjustment under the new normal.

Keywords

FDI, Grey correlation analysis, Economic resilience, exchange rate

Cite This Paper

Zhenbo Zhang, Yidan Hui. A study on the economic factors of foreign investment preference under the dual circulation pattern. Academic Journal of Business & Management (2022) Vol. 4, Issue 3: 78-82. https://doi.org/10.25236/AJBM.2022.040314.

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