Trade and foreign direct investment in China: a political economy approach

• 成果类型: Article
• 署名作者: Branstetter, LG; Feenstra, RC
• 署名单位: University of California System; University of California Davis; Columbia University; National Bureau of Economic Research
• 刊物名称: JOURNAL OF INTERNATIONAL ECONOMICS
• ISSN/ISSBN: 0022-1996
• DOI: 10.1016/S0022-1996(01)00172-6
• 发表日期: 2002
• 页码: 335-358
• 关键词: china; WTO; Foreign direct investment; political economy

摘要

We view the political process in China as trading off the social benefits of increased trade and foreign direct investment against the losses incurred by state-owned enterprises due to such liberalization. A model drawing on Grossman and Helpman [Am. Econ. Rev. 84 (1994) 833; The Political Economy of Trade Policy: Papers in Honor of Jagdish Bhagwati, MIT Press, Cambridge (1996) 199] is used to derive an empirically estimable government objective function. The key structural parameters - of this model are estimated using province-level data on foreign direct investment and trade flows in China, over the years 1984-1995. We find that the weight applied to consumer welfare is between one-seventh and one-quarter of the weight applied to the output of state-owned enterprises. (C) 2002 Elsevier Science B.V. All rights reserved.