Chinese competition in OECD markets: impact on the export position and export strategy of OECD countries
Abraham, Filip Van Hove, Jan
Abraham, Filip
Van Hove, Jan
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Publication Type
Journal article with impact factor
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Supervisor
Publication Year
2011-06
Journal
Journal of Economic Policy Reform
Book
Publication Volume
14
Publication Issue
2
Publication Begin page
151
Publication End page
170
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Abstract
China has been rapidly increasing the exports of manufactured products to OECD markets. In this paper we obtain evidence that the rise of China decreases the export market shares of OECD countries in other OECD markets. We also assess strategies of OECD countries to respond to increasing Chinese competition. OECD countries that upgrade the quality of their export goods strengthen their export position. The evidence for a strategy of variety expansion is less convincing. These conclusions hold for total manufacturing trade. At the sectoral level, the impact of variety expansion and quality upgrading appears to be very heterogeneous.
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Keywords
38 Economics, 3801 Applied Economics, 3802 Econometrics, 44 Human Society, 10 Reduced Inequalities