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The Determinants of Export Performance of China's Township-Village Enterprises

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  • Changqi Wu
  • Leonard K. Cheng

Abstract

The rapid export growth of China's township-village enterprises (TVEs) has not been well understood and explained. Using a simple analytical model and exploring a unique dataset on China's TVEs, we investigate the determinants of TVEs' export performance as measured by export intensity. We _nd that TVEs'export performance is negatively related to the unit labour cost and positively related to the proportion of foreign capital in TVEs' new capital investment. Our results show that transaction costs hinder TVEs' export and the government's _nancial support has a positive, although limited, impact on TVEs' export performance.

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Bibliographic Info

Paper provided by LICOS - Centre for Institutions and Economic Performance, KU Leuven in its series LICOS Discussion Papers with number 8299.

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Length: 21 pages
Date of creation: 1999
Date of revision:
Handle: RePEc:lic:licosd:8299

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Keywords: Export Performance; township-village enterprises; China;

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