Does the Export Promotion Improve the Chinese Comparative Advantage in the Energy Products?

Yu Hong, Chaojie Chen, Dong Yan, Ting Liu

2022

Abstract

This research employed the Chinese and the world trade data in energy products during the period of 1985-2019 to obtain of the weighted index of trade competitiveness (TC) and the indicators symmetric comparative advantage for Chinese export in the energy products (RX), and then used the differences between TC and RX to capture China’s export promotion in energy products (HX). After preliminary analyses on the time paths of the indicators, this study made econometric modeling on RX and HX to empirically examine the short-run and the long-run Granger causal relationship across the two time series. We concluded that 1) China has adopted export promotion in her energy products; 2) in the short-run, there is no Granger causal relationship of any direction between the export promotion and the comparative advantage in Chinese energy export; 3) the long-run equilibrium relationship Granger cause both RX and HX, while there is no evidence that export promotion Granger causes the Chinese comparative advantage in the energy products in the long-run. This study documented that the Chinese export policy intervention has maintained continuity, and the short-run and long-run effects have been much different from the protectionist predictions of comparative advantage improving.

Paper Citation

in Harvard Style

Hong Y., Chen C., Yan D. and Liu T. (2022). Does the Export Promotion Improve the Chinese Comparative Advantage in the Energy Products?. In Proceedings of the 1st International Conference on Public Management, Digital Economy and Internet Technology - Volume 1: ICPDI; ISBN 978-989-758-620-0, SciTePress, pages 168-173. DOI: 10.5220/0011732300003607

in Bibtex Style

@conference{icpdi22,
author={Yu Hong and Chaojie Chen and Dong Yan and Ting Liu},
title={Does the Export Promotion Improve the Chinese Comparative Advantage in the Energy Products?},
booktitle={Proceedings of the 1st International Conference on Public Management, Digital Economy and Internet Technology - Volume 1: ICPDI},
year={2022},
pages={168-173},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0011732300003607},
isbn={978-989-758-620-0},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 1st International Conference on Public Management, Digital Economy and Internet Technology - Volume 1: ICPDI
TI - Does the Export Promotion Improve the Chinese Comparative Advantage in the Energy Products?
SN - 978-989-758-620-0
AU - Hong Y.
AU - Chen C.
AU - Yan D.
AU - Liu T.
PY - 2022
SP - 168
EP - 173
DO - 10.5220/0011732300003607
PB - SciTePress