IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/50371.html
   My bibliography  Save this paper

The New Goods Margin in Japanese-Chinese Trade

Author

Listed:
  • Dalton, John

Abstract

This paper uses the methodology developed in Kehoe and Ruhl (2013) to measure the change in the extensive, or new goods, margin of trade between Japan and China after China's entry into the World Trade Organization in 2001. The new goods account for 15.9% of Japanese exports to China and 22% of Chinese exports to Japan after trade liberalization. For the case of Chinese exports to Japan, a time series measure shows the growth in new goods coincides with the timing of the trade liberalization.

Suggested Citation

  • Dalton, John, 2013. "The New Goods Margin in Japanese-Chinese Trade," MPRA Paper 50371, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:50371
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/50371/1/MPRA_paper_50371.pdf
    File Function: original version
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Feenstra, Robert C, 1994. "New Product Varieties and the Measurement of International Prices," American Economic Review, American Economic Association, vol. 84(1), pages 157-177, March.
    2. Chingunjav Amarsanaa & Yoshinori Kurokawa, 2021. "The Extensive Margin of International Trade in a Transition Economy: The Case of Mongolia," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 63(4), pages 648-673, December.
    3. Christian Broda & David E. Weinstein, 2006. "Globalization and the Gains From Variety," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(2), pages 541-585.
    4. Tang, Man-Keung & Wei, Shang-Jin, 2009. "The value of making commitments externally: Evidence from WTO accessions," Journal of International Economics, Elsevier, vol. 78(2), pages 216-229, July.
    5. Subramanian, Arvind & Wei, Shang-Jin, 2007. "The WTO promotes trade, strongly but unevenly," Journal of International Economics, Elsevier, vol. 72(1), pages 151-175, May.
    6. Costas Arkolakis & Svetlana Demidova & Peter J. Klenow & Andres Rodriguez-Clare, 2008. "Endogenous Variety and the Gains from Trade," American Economic Review, American Economic Association, vol. 98(2), pages 444-450, May.
    7. Timothy J. Kehoe & Kim J. Ruhl, 2013. "How Important Is the New Goods Margin in International Trade?," Journal of Political Economy, University of Chicago Press, vol. 121(2), pages 358-392.
    8. Purba Mukerji, 2009. "Trade Liberalization And The Extensive Margin," Scottish Journal of Political Economy, Scottish Economic Society, vol. 56(2), pages 141-166, May.
    9. repec:lmu:muenar:20646 is not listed on IDEAS
    10. Gabriel J Felbermayr & Wilhelm Kohler, 2014. "Exploring the Intensive and Extensive Margins of World Trade," World Scientific Book Chapters, in: European Economic Integration, WTO Membership, Immigration and Offshoring, chapter 4, pages 115-148, World Scientific Publishing Co. Pte. Ltd..
    11. Andrew K. Rose, 2004. "Do We Really Know That the WTO Increases Trade?," American Economic Review, American Economic Association, vol. 94(1), pages 98-114, March.
    12. John T. Dalton, 2017. "EU Enlargement and the New Goods Margin in Austrian Trade," Open Economies Review, Springer, vol. 28(1), pages 61-78, February.
    13. Michael Tomz & Judith L. Goldstein & Douglas Rivers, 2007. "Do We Really Know That the WTO Increases Trade? Comment," American Economic Review, American Economic Association, vol. 97(5), pages 2005-2018, December.
    14. David Hummels & Peter J. Klenow, 2005. "The Variety and Quality of a Nation's Exports," American Economic Review, American Economic Association, vol. 95(3), pages 704-723, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Sang‐Wook (Stanley) Cho & Hansoo Choi & Julián P. Díaz, 2022. "The causal effect of free trade agreements on the trade margins: Product‐level evidence from geographically distant partners," Southern Economic Journal, John Wiley & Sons, vol. 88(4), pages 1453-1489, April.
    2. Chingunjav Amarsanaa & Yoshinori Kurokawa, 2021. "The Extensive Margin of International Trade in a Transition Economy: The Case of Mongolia," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 63(4), pages 648-673, December.
    3. Sang-wook (Stanley) Cho & Hansoo Choi & Julián P. Díaz, 2018. "Do Free Trade Agreements Increase the New Goods Margin? Evidence from Korea," Open Economies Review, Springer, vol. 29(5), pages 1095-1122, November.
    4. John T. Dalton, 2017. "EU Enlargement and the New Goods Margin in Austrian Trade," Open Economies Review, Springer, vol. 28(1), pages 61-78, February.
    5. Sang-Wook (Stanley) Cho, 2016. "Do Free Trade Agreements Increase The New Goods Margin? Evidence from Korea," Discussion Papers 2016-02, School of Economics, The University of New South Wales.
    6. Cho, Sang-Wook (Stanley) & Díaz, Julián P., 2018. "The dynamics of trade margins: Evidence from the European integration," Economics Letters, Elsevier, vol. 167(C), pages 90-96.
    7. Cho, Sang-Wook (Stanley) & Díaz, Julián P., 2018. "The new goods margin in new markets," Journal of Comparative Economics, Elsevier, vol. 46(1), pages 78-93.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dutt, Pushan & Mihov, Ilian & Van Zandt, Timothy, 2013. "The effect of WTO on the extensive and the intensive margins of trade," Journal of International Economics, Elsevier, vol. 91(2), pages 204-219.
    2. Daniel M. Bernhofen & Zouheir El‐Sahli & Richard Kneller, 2021. "The impact of technological change on new trade: Evidence from the container revolution," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 54(2), pages 923-943, May.
    3. Sang-wook (Stanley) Cho & Hansoo Choi & Julián P. Díaz, 2018. "Do Free Trade Agreements Increase the New Goods Margin? Evidence from Korea," Open Economies Review, Springer, vol. 29(5), pages 1095-1122, November.
    4. Dutt, Pushan, 2020. "The WTO is not passé," European Economic Review, Elsevier, vol. 128(C).
    5. Baier, Scott L. & Bergstrand, Jeffrey H. & Feng, Michael, 2014. "Economic integration agreements and the margins of international trade," Journal of International Economics, Elsevier, vol. 93(2), pages 339-350.
    6. Pinelopi K. Goldberg & Nina Pavcnik, 2016. "The Effects of Trade Policy," NBER Working Papers 21957, National Bureau of Economic Research, Inc.
    7. Türkcan, Kemal & Pişkin, Erhan, 2014. "Ticaret Anlaşmalarının Türkiye’nin İhracat Dinamiğine Etkisi: Yaygın ve Yoğun Ticaret [The Effects of the Trade Agreements on the Dynamics of Turkey’s Export: Extensive and Intensive Margins]," MPRA Paper 59841, University Library of Munich, Germany.
    8. John T. Dalton, 2017. "EU Enlargement and the New Goods Margin in Austrian Trade," Open Economies Review, Springer, vol. 28(1), pages 61-78, February.
    9. Colantone, Italo & Crinò, Rosario, 2014. "New imported inputs, new domestic products," Journal of International Economics, Elsevier, vol. 92(1), pages 147-165.
    10. Cho, Sang-Wook (Stanley) & Díaz, Julián P., 2018. "The new goods margin in new markets," Journal of Comparative Economics, Elsevier, vol. 46(1), pages 78-93.
    11. Elhanan Helpman & Marc Melitz & Yona Rubinstein, 2008. "Estimating Trade Flows: Trading Partners and Trading Volumes," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 123(2), pages 441-487.
    12. D’Artis Kancs, 2010. "Structural Estimation of Variety Gains from Trade Integration in Asia," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 43(3), pages 270-288, September.
    13. KUNO Arata & URATA Shujiro & YOKOTA Kazuhiko, 2017. "FTAs and the Pattern of Trade: The case of the Japan-Chile FTA," Discussion papers 17091, Research Institute of Economy, Trade and Industry (RIETI).
    14. Eicher, Theo S. & Henn, Christian, 2011. "In search of WTO trade effects: Preferential trade agreements promote trade strongly, but unevenly," Journal of International Economics, Elsevier, vol. 83(2), pages 137-153, March.
    15. Chingunjav Amarsanaa & Yoshinori Kurokawa, 2021. "The Extensive Margin of International Trade in a Transition Economy: The Case of Mongolia," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 63(4), pages 648-673, December.
    16. Spearot, Alan C., 2013. "Variable demand elasticities and tariff liberalization," Journal of International Economics, Elsevier, vol. 89(1), pages 26-41.
    17. Christodoulopoulou, Styliani, 2010. "THE Effects of Multilateral Trade Liberalization on the Extensive and the Intensive Margins of Trade," MPRA Paper 29169, University Library of Munich, Germany.
    18. Atika Benaddi & Peri Silva, 2021. "Trade policy uncertainty: Evidence from the Arab League countries," Review of International Economics, Wiley Blackwell, vol. 29(5), pages 1327-1357, November.
    19. Ardelean, Adina & Lugovskyy, Volodymyr, 2010. "Domestic productivity and variety gains from trade," Journal of International Economics, Elsevier, vol. 80(2), pages 280-291, March.
    20. Brotto, André & Jakubik, Adam & Piermartini, Roberta, 2021. "WTO accession and growth: Tang and Wei Redux," WTO Staff Working Papers ERSD-2021-1, World Trade Organization (WTO), Economic Research and Statistics Division.

    More about this item

    Keywords

    extensive margin; international trade; trade liberalization; Japan; China;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • 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:pra:mprapa:50371. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: Joachim Winter (email available below). General contact details of provider: https://edirc.repec.org/data/vfmunde.html .

    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.