China's Outward Investment Boosts Domestic Productivity, Bridging Technology Gap Crucial
The study looked at how Chinese companies investing abroad can bring new technology back home. They used data from different Chinese regions between 2003 and 2007. The results showed that when Chinese companies invest overseas, it helps improve technology back in China. The difference in technology levels between China and Western countries also affects how much new technology comes back. The relationship between technology difference and technology transfer is not a straight line, but a more complex one.