Foreign trade, local protectionism and industrial location in China

Huang, Jikun; Li, Kunwang

doi:10.1007/s11459-007-0002-4

Cited by 10 publications

(9 citation statements)

References 33 publications

(26 reference statements)

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“…Regional protectionism is difficult to be quantified, as no evident can measure it either specifically or overall. Therefore, tax-output proportion and state-owned enterprises ratio are applied to indicate protection, as Huang and Li (2006) implement in their research. Moreover, they have captured the evolving effect of market-oriented reforms on industrial distribution by measuring the significance of estimation from multi-periods.…”

Section: Methodology and Data Sources 21 Core-periphery Pattern And mentioning

confidence: 99%

“…To this model, the instrument should be relevant to regional characteristics but not to industrial characteristics to control the effect of the choice of industry on regional characteristic. This paper uses a five-year lagged regional characteristic variable as the instrument, referring to Huang and Li (2006). Under the Hausman test and over identifying test, this variable proved to be valid.…”

Section: Empirical Analysis Of Core-periphery Pattern and Regional Spmentioning

confidence: 99%

“…However, Bao et al (2012) have argued that new economic geography better explains the evolution of industrial spatial patterns, compared to traditional trade theory. Owing to globalization, coastal areas are able to tap their geographical advantage for industrial agglomeration (Jin et al, 2006), and international trade can affect the industrial distribution in China (Huang and Li, 2006). Through mechanisms such as cumulative causation, agglomeration forces of the home market effect, backward-forward linkages, and technology spillovers that enable further agglomeration, economic patterns are shaped.…”

Section: Introductionmentioning

confidence: 99%

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Evolving a core-periphery pattern of manufacturing industries across Chinese provinces

Qiliang

Wang

et al. 2014

J. Geogr. Sci.

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This paper, concerning uneven development in China, empirically analyzes the core-periphery gradient of manufacturing industries across provinces (autonomous regions, municipalities), and assesses the extent to which these provinces have changed in recent years. Since China's reform and opening-up, the spatial structure of the economy has presented a significant core-periphery pattern, the core evidently skewing towards east-coastal areas. With the deepening of market reforms and expansion of globalization, industrial location is gradually in line with the development advantages of provinces. The core provinces specialize in those industries characterized by strong forward and backward linkages, as well as a high consumption ratio, a high degree of increasing returns to scale, and labor or human-capital intensity. However, it is the opposite with regard to peripheral provinces, in addition, energy intensive industries are gradually concentrating in these areas. To a certain degree, the comparative advantage theory and new economic geography identify the underlying forces that determine the spatial distribution of manufacturing industries in China. This paper indicates that the industrialization of regions along different gradients becomes unsynchronized will be a long-term trend. Within a certain period, regions are bound to develop industrial sectors in line with their respective characteristics and development stage. A core-periphery pattern of industries also indicates that industrial development differentials across regions arise because of not only the uneven distribution of industries but also the inconsistent evolving trends of industrial structure for each province.

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Section: Methodology and Data Sources 21 Core-periphery Pattern And mentioning

confidence: 99%

Section: Empirical Analysis Of Core-periphery Pattern and Regional Spmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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Evolving a core-periphery pattern of manufacturing industries across Chinese provinces

Qiliang

Wang

et al. 2014

J. Geogr. Sci.

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“…Jin et al (2006) [12] carry out an empirical test using the provincial panel data of China from 1987 to 2001 and finds out a reverse relationship between government expenditure and regional industrial agglomeration, which means that the weaker the government's role is, the more conducive to the industrial agglomeration of the region. Huang and Li (2006) [13] uses the proportion of fiscal revenue to GDP to measure the degree of local government protection of industrial industry on the level of provinces in China and find out a positive correlation between local government protection and regional industrial agglomeration. Liang and Wu (2008) [14] theoretically explore the influence mechanism of Chinese financial transfer payment system on industrial agglomeration and point out that the financial transfer payment in China will lead to the trend of the industry centralization to the superior administrative region.…”

Section: Introductionmentioning

confidence: 99%

Analysis of the Influence of Local Government’s Behavior and Preference on Industrial Agglomeration Under Chinese Promotion Game

Yan¹

2018

IJEFM

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Research content: Based on the framework of Chinese-style promotion game, a theoretical model to describe how local government behavior and preference affect agglomeration is made up, and empirical evidence is provided based on the samples from 282 cities in China. Innovation: Taking industrial connections as the grasp of the hand, different effects of local government behavior and preference on the agglomeration of manufacturing industry and production service industry are identified, which provides a new perspective for the explanation of the causes of agglomeration economy in China. Main conclusions: (1) In the Chinese promotion game, local government officials will promote local manufacturing industry agglomeration and producer services industry agglomeration for the maximization of their promotion profits, but prefer to promote manufacturing industry agglomeration. (2) The connection between producer services industry and manufacturing industry, and the connection within manufacturing industries will affect local governments' industry selection preference, the former can induce local governments to tend to pull up the agglomeration of producer services industry, the latter can induce local governments to tend to pull up the manufacturing industry agglomeration.

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“…After the policy reform and trade liberalization, and especially after joining the World Trade Organization, foreign trade increased rapidly and became one of the main driving forces of economic growth in China (Liu et al, 2010;Hu and Zhang, 2015). Similar to Mexico, economic activities gradually concentrated in areas with geographical advantages for foreign trade, and eastern coastal provinces became an agglomeration of industry and foreign direct investment (Fujita and Hu, 2001;Wen, 2004;Huang and Li, 2006;He and Xie, 2006;Liu et al, 2007). Similar to the situation in Japan after the "Plaza Accord," the recent global financial crisis lead to a significant decline in exports, and had a huge impact on the domestic industrial development in all regions in China.…”

Section: Introductionmentioning

confidence: 99%

Will Decline in Foreign Trade Reshape Internal Economic Geography? Simulations in an Estimated Model of the Chinese Space-economy

Qiliang¹,

Wang²

2016

BMS

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This study evaluates the role of decline in foreign trade in shaping China's internal economic Geography. In a first step, we develop a multi-region multi-industry economic geography model under Cournot competition, of which we estimate the parameter values from real regional and industry data to obtain a predictable model. Next, we set some scenarios reflecting a decline in export to simulate the evolution of industrial spatial pattern. The simulations indicate the evident impact of decreasing export on the spatial distribution of industries; besides, the degree of influence varies across different industries. Moreover, the decline in export of one industry not only influences its own location, but also the location of the forward or backward-linked industries. However, the general spatial pattern, observed after policy reforms and trade liberalization, will not be reversed due to export recession in China.

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Foreign trade, local protectionism and industrial location in China

Cited by 10 publications

References 33 publications

Evolving a core-periphery pattern of manufacturing industries across Chinese provinces

Evolving a core-periphery pattern of manufacturing industries across Chinese provinces

Analysis of the Influence of Local Government’s Behavior and Preference on Industrial Agglomeration Under Chinese Promotion Game

Will Decline in Foreign Trade Reshape Internal Economic Geography? Simulations in an Estimated Model of the Chinese Space-economy

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