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Structural analysis of Sino-US Trade

Author

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  • Yizhou Kuang

    (College of Public Administration, Southwest Jiaotong University, Jinghua street, Chengdu City, Sichuan Province, 611756, China)

Abstract

United States and China are the world’s largest and second-largest economies, and the world's largest and second-largest countries of trade as well. How will the Sino-US trade policy be adjusted and the trade structure be improved have always been a matter of concern. Firstly, a periodic review of the development of Sino-US trade is conducted in this paper. Then several empirical approaches, such as intra-industry trade analysis, comparative advantage analysis and export similarity analysis are adopted to analyze the latest statistics, in order to find out the compatibility and trends of Sino-US trade. The results calculated are used to demonstrate the difference of import and export structures between two countries, why China has a surplus in trade in goods, but a deficit in trade in services and what will this lead to in the future. The study shows that the basic methods to optimize the structure of Sino-US trade are advancing technologies, stimulating domestic demand and accelerating the development of services.

Suggested Citation

  • Yizhou Kuang, 2014. "Structural analysis of Sino-US Trade," International Journal of Economics and Empirical Research (IJEER), The Economics and Social Development Organization (TESDO), vol. 2(8), pages 333-344, August.
    • Handle: RePEc:ijr:journl:v:2:y:2014:i:8:p:333-344
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    More about this item

    Keywords

    trade structure; comparative advantage;

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology

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