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Rise of China and India in International Trade: From Textiles to New Technology

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  • Françoise Lemoine
  • Deniz Ünal-Kesenci

Abstract

China and India are two demographic giants that have become big developing economic powers. They have maintained their specialization in textiles and developed outward-oriented sectors linked to new technologies, taking advantage of offshoring and outsourcing. Their increasing contribution to international trade is changing the world supply and demand of manufactured goods, primary goods and services. They are new leaders in the international division of labor, but beyond technological catch-up, their challenge is quality upgrading. Both countries are increasingly contributing to global economic growth, but they cannotyet trigger the growth of the rest of the world by themselves. Copyright (c) 2008 The Authors Journal compilation (c) 2008 Institute of World Economics and Politics, Chinese Academy of Social Sciences.

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Bibliographic Info

Article provided by Institute of World Economics and Politics, Chinese Academy of Social Sciences in its journal China & World Economy.

Volume (Year): 16 (2008)
Issue (Month): 5 ()
Pages: 16-34

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Handle: RePEc:bla:chinae:v:16:y:2008:i:5:p:16-34

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References

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  1. Dilip K. Das, 2006. "China and India: An Era of Escalating Economic Interaction," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 14(4), pages 105-119.
  2. Kochhar, Kalpana & Kumar, Utsav & Rajan, Raghuram & Subramanian, Arvind & Tokatlidis, Ioannis, 2006. "India's pattern of development: What happened, what follows?," Journal of Monetary Economics, Elsevier, vol. 53(5), pages 981-1019, July.
  3. Lionel Fontagné & Guillaume Gaulier & Soledad Zignago, 2008. "Specialization across varieties and North-South competition," Economic Policy, CEPR & CES & MSH, vol. 23, pages 51-91, 01.
  4. Gaulier, Guillaume & Zignago, Soledad, 2004. "Notes on BACI (analytical database of international trade). 1989-2002 version," MPRA Paper 32401, University Library of Munich, Germany.
  5. Jagdish Bhagwati & Arvind Panagariya, 2004. "The Muddles over Outsourcing," Journal of Economic Perspectives, American Economic Association, vol. 18(4), pages 93-114, Fall.
  6. Dimaranan, Betina & Ianchovichina, Elena & Martin, William J., 2007. "China, India, and the future of the world economy : fierce competition or shared growth?," Policy Research Working Paper Series 4304, The World Bank.
  7. Paul A. Samuelson, 2004. "Where Ricardo and Mill Rebut and Confirm Arguments of Mainstream Economists Supporting Globalization," Journal of Economic Perspectives, American Economic Association, vol. 18(3), pages 135-146, Summer.
  8. Valerie Cerra & Sandra A. Rivera & Sweta C. Saxena, 2005. "Crouching Tiger, Hidden Dragon: What Are the Consequences of China’s WTO Entry for India’s Trade?," International Trade 0508005, EconWPA.
  9. Lemoine, Francoise & Unal-Kesenci, Deniz, 2004. "Assembly Trade and Technology Transfer: The Case of China," World Development, Elsevier, vol. 32(5), pages 829-850, May.
  10. Yuefen Li, 2006. "Trade Balance: Numbers Can be Deceiving," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 14(3), pages 54-70.
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Cited by:
  1. Françoise Lemoine, 2009. "La Chine et l’Inde : les plus solides des BRIC," Revue d'Économie Financière, Programme National Persée, vol. 95(2), pages 229-241.
  2. Amighini, Alessia A., 2012. "China and India in the international fragmentation of automobile production," China Economic Review, Elsevier, vol. 23(2), pages 325-341.
  3. Guillaume Gaulier & Françoise Lemoine & Deniz Ünal, 2012. "The rise of emerging economies in the EU15 trade," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 9(1), pages 133-175, April.
  4. Guillaume Gaulier & Françoise Lemoine & Deniz Ünal, 2009. "EU15 Trade with Emerging Economies and Rentier States: Leveraging Geography," Working Papers 2009-25, CEPII research center.

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