Modeling and research of the relationship between FDI and China's international finance

Author(s): Gan Qu, Jianguo Xing

FDI has really close relationship with China's international finance. From the point of the multinational company’s overseas investment, the risks of multinational company’s overseas investment will increasing if there is economic crisis, leading to the severe affection to the imports assets in our country. In this way, international financial trades would get affected and so on the development of multinational companies. Based on the data of regression model, some corresponding researches and discussions are made on FDI, which might play a positive role in the development of the international finance and trade in China. At the same time, it helps to achieve the ultimate goal of reducing the risk of overseas multinational companies through financial investment.

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