This article is concerned with the interaction of regulated efficiency and World Trade Organization (WTO) accession and its impact on China's motor vehicle sector. The analysis is conducted using a 23 sector--25 region computable general equilibrium model. Regulatory reform and internal restructuring are found to be critical. Restructuring is represented by a cost reduction following from consolidation and rationalization that moves costs toward global norms. Without restructuring, WTO accession means a surge of final imports, though imports of parts could well fall as production moves offshore. However, with restructuring, the final assembly industry can be made competitive by world standards, with a strengthened position for the industry. Copyright 2004, Oxford University Press.
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Volume (Year): 18 (2004) Issue (Month): 1 () Pages: 85-104 Download reference. The following formats are available: HTML,
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Handle: RePEc:oup:wbecrv:v:18:y:2004:i:1:p:85-104
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