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Financial effects of the Confucius Institute on Chinese language acquisition: Isn’t it delightful that friends come from afar to teach you Hanyu?

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  • Lien, Donald

Abstract

This paper provides a theoretical analysis of the financial effects of Confucius Institutes (CIs) on the number of individuals who acquire Chinese language skills and the interactions between CIs and pre-existing local Chinese schools. It is shown that CIs will successfully induce more individuals in the host countries to learn Chinese despite the fact that Chinese language instruction offered by CIs lead to fewer self-learning individuals and declining enrollments for local Chinese schools. Finally, regardless of whether a local Chinese school exists previously or not, it is demonstrated that, under the most plausible conditions, the host country will benefit from the establishment of a Confucius Institute.

Suggested Citation

  • Lien, Donald, 2013. "Financial effects of the Confucius Institute on Chinese language acquisition: Isn’t it delightful that friends come from afar to teach you Hanyu?," The North American Journal of Economics and Finance, Elsevier, vol. 24(C), pages 87-100.
    • Handle: RePEc:eee:ecofin:v:24:y:2013:i:c:p:87-100
    DOI: 10.1016/j.najef.2012.04.001
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    References listed on IDEAS

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    1. Gabszewicz Jean J. & Ginsburgh Victor A. & Laussel Didier & Weber Shlomo, 2011. "Foreign Languages Acquisition: Self-Learning and Language Schools," Review of Network Economics, De Gruyter, vol. 10(1), pages 1-22, March.
    2. repec:adr:anecst:y:2011:i:101-102:p:13 is not listed on IDEAS
    3. Jean Gabszewicz & Victor Ginsburgh & Shlomo Weber, 2011. "Bilingualism and Communicative Benefits," Annals of Economics and Statistics, GENES, issue 101-102, pages 271-286.
    4. Lien, Donald & Oh, Chang Hoon & Selmier, W. Travis, 2012. "Confucius institute effects on China's trade and FDI: Isn't it delightful when folks afar study Hanyu?," International Review of Economics & Finance, Elsevier, vol. 21(1), pages 147-155.
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    Cited by:

    1. Lian, Zeng & Sun, Wenli & Xie, Dan & Zheng, Jie, 2021. "Cultural difference and China’s cross-border M&As: Language matters," International Review of Economics & Finance, Elsevier, vol. 76(C), pages 1205-1218.
    2. Lien, Donald & Oh, Chang Hoon, 2014. "Determinants of the Confucius Institute establishment," The Quarterly Review of Economics and Finance, Elsevier, vol. 54(3), pages 437-441.
    3. Shanshan Ouyang & Yanxi Li, 2019. "Confucius Institute and the Completion of Chinese Cross-Border Acquisitions," Sustainability, MDPI, vol. 11(18), pages 1-22, September.

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