IDEAS home Printed from https://ideas.repec.org/a/eee/eecrev/v164y2024ics0014292124000473.html
   My bibliography  Save this article

Decomposing China’s bilateral export growth: A firm-regional-transactions structural gravity approach

Author

Listed:
  • Egger, Peter H.
  • Li, Jie
  • Wu, Han

Abstract

This paper undertakes a decomposition of China’s firm-transaction-level exports with an emphasis on aggregates thereof at the prefectural level. Chinese prefectures are large and, relative to some smaller countries, the larger ones are visible players in the world market. We decompose China’s prefecture-product-level bilateral exports to foreign countries into their main components. These are factor costs, market potential (including trade frictions and foreign expenditure) as well as quality and productivity. We consider the latter two as to be drawn from a bivariate Pareto distribution that is specific to prefectures, products, and countries. This strategy enables retrieving fixed market access costs and permits conducting counterfactual experiments with a focus on the distribution across Chinese prefectures.

Suggested Citation

  • Egger, Peter H. & Li, Jie & Wu, Han, 2024. "Decomposing China’s bilateral export growth: A firm-regional-transactions structural gravity approach," European Economic Review, Elsevier, vol. 164(C).
    • Handle: RePEc:eee:eecrev:v:164:y:2024:i:c:s0014292124000473
    DOI: 10.1016/j.euroecorev.2024.104718
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0014292124000473
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.euroecorev.2024.104718?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Keywords

    Gravity model; Bilateral export patterns; Specialization; China;
    All these keywords.

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:eecrev:v:164:y:2024:i:c:s0014292124000473. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/eer .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.