Paper Title
"THE IMPACTS OF FOREIGN DIRECT INVESTMENT AND DOMESTIC INVESTMENT ON ENVIRONMENTAL QUALITY IN JIANGSU PROVINCE, CHINA"

Abstract
Abstract - Jiangsu province, as one of the most developed provinces in China, attracts investment from all over the world. The continuous improvement of economic strength and the increase in FDI in Jiangsu province will inevitably have a certain impact on the local environment. The coordinated development of the environment and the economy remains one of the key issues for Jiangsu's development. This studyuses the Vector Autoregressive (VAR) model to empirically study and compare the relationship between foreign direct investment (FDI), domestic investment (DI), and environmental quality in Jiangsu province, China. This is achieved through the analysis of impulse response functions and variance decomposition. Selecting data based on the period from 1999 to 2021 of Jiangsu Statistical Yearbook.The results show that in the long term, FDI may have smaller negative spillover effects on the environment compared to DI. In the short term, FDI may have a mitigating effect on environmental indicators, while DI may not show the same effect. These findings highlight the importance of considering the impact of different types of investment on environmental sustainability and the potential benefits of foreign investment in promoting cleaner and more sustainable industries. Keywords - FDI, Foreign Direct Investment, Domestic Investment, Environmental Quality, DI, Jiangsu