Arbeitspapier

China's Pure Exporter Subsidies

One third of Chinese exporters sell more than ninety percent of their production abroad. We argue that this distinctive pattern is attributable to the widespread use of subsidies that require firms to export the vast majority of their output. We study this type of subsidy in the context of a heterogeneous-firm model, and show that it is worse from a welfare standpoint than a regular export subsidy, partly because it increases protection of the domestic market. A counterfactual analysis suggests that eliminating these subsidies would result in a welfare gain for China comparable to that of halving its trade costs.

Sprache
Englisch

Erschienen in
Series: FIW Working Paper ; No. 121

Klassifikation
Wirtschaft
Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
Trade Policy; International Trade Organizations
Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
Thema
Trade Policy
Export Subsidies
Heterogeneous Firms
China

Ereignis
Geistige Schöpfung
(wer)
Defever, Fabrice
Riaño, Alejandro
Ereignis
Veröffentlichung
(wer)
FIW - Research Centre International Economics
(wo)
Vienna
(wann)
2013

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Defever, Fabrice
  • Riaño, Alejandro
  • FIW - Research Centre International Economics

Entstanden

  • 2013

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