Masanaga Kumakura () (Osaka City University) Masato Kuroko () (Institute of Developing Economies, Japan External Trade Organization)
Abstract
Despite widespread interest in China's growing trade surplus and its impact on other countries, empirical research in these issues is handicapped by the lack of reliable statistics on aggregate import and export prices. Although researchers estimate the trade volumes of China and other East Asian countries using a variety of surrogate price indices, an inappropriate deflator can cause a significant bias in econometric analysis. This paper discusses the potential seriousness of this problem by examining recent studies on the export competition between China and other Asian countries.
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Find related papers by JEL classification: F1 - International Economics - - Trade F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance