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Trading with Asia’s Giants

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Author Info
Barry Bosworth
Abstract

India represents a sharp contrast to China in the small size of its goods trade. Although India’s GDP is a third that of China, its global trade is only about 12 percent as large while its trade with United States is less than 10 percent as large. Even more striking, Japan’s trade with India is less than 5 percent of its trade with China. The large U.S. trade imbalance with Asia is a frequent topic of concern in the U.S. media and policy discussion. The trade issues take on added importance with respect to U.S. economic relations with China and India who are emerging as global centers for manufacturing and business services respectively.

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Paper provided by esocialsciences.com in its series Working Papers with number id:1615.

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Date of creation: 2008
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Handle: RePEc:ess:wpaper:id:1615

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Keywords: China; India; United States; trade; and exports;

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  1. James E. Anderson & Eric van Wincoop, 2004. "Trade Costs," NBER Working Papers 10480, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  2. Barry Bosworth & Susan M. Collins, 2008. "Accounting for Growth: Comparing China and India," Journal of Economic Perspectives, American Economic Association, vol. 22(1), pages 45-66, Winter.
  3. Lee Branstetter & C. Fritz Foley, 2007. "Facts and Fallacies about U.S. FDI in China," NBER Working Papers 13470, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  4. K.C. Fung & LawrenceJ. Lau & Yanyan Xiong, 2006. "Adjusted Estimates Of United States-China Bilateral Trade Balances: An Update," Pacific Economic Review, Blackwell Publishing, vol. 11(3), pages 299-314, October. [Downloadable!] (restricted)
  5. David T Coe & Arvind Subramanian & Natalia T Tamirisa, 2007. "The Missing Globalization Puzzle: Evidence of the Declining Importance of Distance," IMF Staff Papers, Palgrave Macmillan Journals, vol. 54(1), pages 34-58, May. [Downloadable!] (restricted)
  6. Robert C. Feenstra et al., 1999. "Discrepancies in International Data: An Application to China-Hong Kong Entrepot Trade," American Economic Review, American Economic Association, vol. 89(2), pages 338-343, May. [Downloadable!] (restricted)
  7. Feenstra, Robert C, 2002. "Border Effects and the Gravity Equation: Consistent Methods for Estimation," Scottish Journal of Political Economy, Scottish Economic Society, vol. 49(5), pages 491-506, December. [Downloadable!] (restricted)
  8. Fung, K. C. & Lau, Lawrence J., 2003. "Adjusted estimates of United States-China bilateral trade balances: 1995-2002," Journal of Asian Economics, Elsevier, vol. 14(3), pages 489-496, June. [Downloadable!] (restricted)
  9. Joseph E. Gagnon, 2003. "Long-run supply effects and the elasticities approach to trade," International Finance Discussion Papers 754, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
  10. Rikhil Bhavnani & David T. Coe & Arvind Subramanian & Natalia T. Tamirisa, 2002. "The Missing Globalization Puzzle," IMF Working Papers 02/171, International Monetary Fund. [Downloadable!]
  11. Alan Deardorff, 1998. "Determinants of Bilateral Trade: Does Gravity Work in a Neoclassical World?," NBER Chapters, in: The Regionalization of the World Economy, pages 7-32 National Bureau of Economic Research, Inc. [Downloadable!]
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