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Extensive margin, quantity and price in China's export growth

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  • Bingzhan, Shi
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    Abstract

    We developed a methodology to decompose export growth into three margins: extensive margin, price and quantity. We then decomposed data on China's export trade with 140 partners in 2001 and 2007 into the three margins. We arrive at the following conclusions: China's export growth is mainly driven by quantity growth, which accounts for about 70% of overall export growth. This conclusion is robust for different partners, different industries and different techniques. To convert export quantity-driven growth into extensively margin- and quality-driven growth is a major challenge for the Chinese government and China's enterprises in the long term.

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    Bibliographic Info

    Article provided by Elsevier in its journal China Economic Review.

    Volume (Year): 22 (2011)
    Issue (Month): 2 (June)
    Pages: 233-243

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    Handle: RePEc:eee:chieco:v:22:y:2011:i:2:p:233-243

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    Web page: http://www.elsevier.com/locate/chieco

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    Keywords: Export growth Extensive margin Price Quantity;

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    Cited by:
    1. Shahid Yusuf, 2012. "From Technological Catch-up to Innovation : The Future of China’s GDP Growth," World Bank Other Operational Studies 12781, The World Bank.
    2. C. Veeramani & Prachi Gupta, 2014. "Extensive and intensive margins of India's exports: Comparison with China," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2014-011, Indira Gandhi Institute of Development Research, Mumbai, India.
    3. Kemal Türkcan, 2014. "Investigating the Role of Extensive Margin, Intensive Margin, Price and Quantity Components on Turkey’s Export Growth during 1998-2011," Working Papers 2014/2, Turkish Economic Association.

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