Answers are grounded in this paper and cite their sources.
This study analysed the impact of appreciation of the renminbi (RMB) on China's outward foreign direct investment (OFDI) on a theoretical and empirical basis. Based on theoretical analysis, we found that the appreciation of RMB can promote OFDI, as it can lower the threshold for foreign direct investment. Then, by constructing export-weighted effective exchange rates, we found that for every 1% appreciation of the RMB, the probability of enterprises engaging in OFDI increased by 0.0069 over 2001–2012.
No takes yet. Share an insight, caveat, or question.
Feng et al. (2022) studied this question.
Synapse has enriched 10 related papers. Consider them for comparative context: