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Chinese regions' participation in global value chains and the associated global transmission of export price and quantity shocks

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  • Peter H. Egger
  • Jie Li
  • Yu Zhao

Abstract

This paper proposes an imputation of a global input‐output matrix, where China is broken up into 332 prefecture‐type regions in three years of data, 2007, 2012, and 2017. Using the resulting global input‐output matrix, the paper documents that sizable spillover effects exist with regard to economic volatility. In particular, such volatility spillovers are important for prices and somewhat less so for quantity shocks. We demonstrate that individual Chinese prefectures are large recipients and donors of such shocks. All Chinese prefectures together have a very large impact on the world economy in terms of the considered volatility shocks.

Suggested Citation

  • Peter H. Egger & Jie Li & Yu Zhao, 2024. "Chinese regions' participation in global value chains and the associated global transmission of export price and quantity shocks," Review of International Economics, Wiley Blackwell, vol. 32(2), pages 371-393, May.
  • Handle: RePEc:bla:reviec:v:32:y:2024:i:2:p:371-393
    DOI: 10.1111/roie.12658
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    References listed on IDEAS

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    Cited by:

    1. Peter H. Egger & Jie Li & Miaojie Yu, 2024. "Introduction to the special issue “China and the global economy”," Review of International Economics, Wiley Blackwell, vol. 32(2), pages 325-327, May.

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