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An Empirical Analysis of the Comparative Advantage of Chinese Foreign Trade Products

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  • ZHANG XIAODI
  • LI XIAOZHONG

Abstract

This article is an empirical analysis of the organization of Chinese exports, their comparative advantage, and technological structure, using the statistical data of Chinese foreign trade in recent years. The result demonstrates that labor-intensive products form the largest ratio of Chinese exports and also those that have the comparative advantage. The proportion of skill- and technology-intensive products is growing larger compared with the gross amount of general Chinese exports and among products with comparative advantage. However, compared with the average level in the world, the technology contained in Chinese exports is lower, and the growth of exports is mainly one of quantitative expansion. This article posits that the implementation of the strategy of sustainable development of foreign trade guided by competitive advantage is the necessary path for promoting the international competitive capacity of Chinese foreign trade products and obtaining more comparative interests.

Suggested Citation

  • Zhang Xiaodi & Li Xiaozhong, 2004. "An Empirical Analysis of the Comparative Advantage of Chinese Foreign Trade Products," Chinese Economy, Taylor & Francis Journals, vol. 37(1), pages 38-61, January.
    • Handle: RePEc:mes:chinec:v:37:y:2004:i:1:p:38-61
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    Cited by:

    1. Khraief, Naceur & Shahbaz, Muhammad & Mahalik, Mantu Kumar & Bhattacharya, Mita, 2021. "Movements of oil prices and exchange rates in China and India: New evidence from wavelet-based, non-linear, autoregressive distributed lag estimations," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 563(C).
    2. Faria, João Ricardo & Mollick, André Varella & Albuquerque, Pedro H. & León-Ledesma, Miguel A., 2009. "The effect of oil price on China's exports," China Economic Review, Elsevier, vol. 20(4), pages 793-805, December.

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