The Empirical Analysis on Shanghai Service Industry Foreign Direct Investment's Effect on Industrial Structure

In recent years, foreign direct investment focus from manufacturing to service industry.This article has tested the Cointegration and Granger causality between the growth of FDI in Shanghai's service industry and the optimization of Shanghai's industrial structure.And the result shows that there is long-term relationship between them and the growth of FDI in Shanghai's service industry can promote the upgrading in Shanghai's industrial structure,but the optimization of Shanghai's industiral structure doesn't cause the growth of FDI in Shanghai's service industry. Based on the results,the article also gives some suggestions on how to utilize FDI efficiently.