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Investigating Imbalances in Manufacturing Trade

Author

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  • Thorbecke, Willem

    (Research Institute of Economy, Trade and Industry)

Abstract

Researchers found that manufacturing imports have caused dislocation and triggered protectionist pressures. This paper investigates whether manufacturing exports from China, Germany, and other exporters are disproportionate. Gravity model results indicate that Germany’s exports in 2015 were 24 percent more than predicted and China’s exports 5 percent less than predicted. However, China’s exports to North America were 71 percent more than predicted and China’s exports to East Asia 46 percent less than predicted. East Asia’s intra-regional exports were also 36 percent less than predicted. Dynamic ordinary least squares findings indicate that export price elasticities are higher for China, Korea, Taiwan, the UK and the US and lower for Germany and Japan.

Suggested Citation

  • Thorbecke, Willem, 2017. "Investigating Imbalances in Manufacturing Trade," RIEI Working Papers 2017-07, Xi'an Jiaotong-Liverpool University, Research Institute for Economic Integration.
    • Handle: RePEc:xjt:rieiwp:2017-07
    as

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    File URL: http://58.210.89.21/RePEc/xjt/working-papers/RIEI-WP_2017-07.pdf
    File Function: First version, 2017
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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    RManufacturing exports; Gravity model; China;
    All these keywords.

    JEL classification:

    • F32 - International Economics - - International Finance - - - Current Account Adjustment; Short-term Capital Movements
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F22 - International Economics - - International Factor Movements and International Business - - - International Migration

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