IDEAS home Printed from https://ideas.repec.org/a/ibn/ibrjnl/v14y2021i1p34.html

Trade Effect of the Free Trade Zone

Author

Listed:
  • Chao Zhou
  • Ying Su

Abstract

Facing to the increasingly complex international environment and the new normal of China's economic growth, the pilot of free trade zone is an important measure for China to further deepen reform and opening up. Promoting trade liberalization is an important part of the construction of the free trade zone. Based on the city panel data from 2004 to 2018, this paper analyzes the trade effects of 11 free trade zones established in 2017 and before by using the method of period by period did. Also the trade effect of each free trade zone is analyzed separately by the method of synthetic control.The results show that, firstly, the free trade zone has obvious trade promotion effect on total trade and export trade, but not on import trade. Second, the trade promotion effect of the pilot free trade zone is not significant in the eastern region, but there is an obvious trade promotion effect in the central and western regions. Thirdly, the analysis of each pilot free trade zone also shows some heterogeneity. Generally speaking, the trade effect of export is greater than that of import.Specifically speaking, the pilot free trade zone shows certain heterogeneity, which may be related to the local economic development level and econnmic scale.

Suggested Citation

  • Chao Zhou & Ying Su, 2021. "Trade Effect of the Free Trade Zone," International Business Research, Canadian Center of Science and Education, vol. 14(1), pages 1-34, January.
    • Handle: RePEc:ibn:ibrjnl:v:14:y:2021:i:1:p:34
    as

    Download full text from publisher

    File URL: http://www.ccsenet.org/journal/index.php/ibr/article/download/0/0/44412/46827
    Download Restriction: no
    File URL: http://www.ccsenet.org/journal/index.php/ibr/article/view/0/44412
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Alberto Abadie, 2005. "Semiparametric Difference-in-Differences Estimators," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 72(1), pages 1-19.
    2. Abadie, Alberto & Diamond, Alexis & Hainmueller, Jens, 2010. "Synthetic Control Methods for Comparative Case Studies: Estimating the Effect of California’s Tobacco Control Program," Journal of the American Statistical Association, American Statistical Association, vol. 105(490), pages 493-505.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Liu, Jing & Zeng, Yun & Dong, Haonan & Lyu, Sinuo, 2025. "Trade liberalization and elderly health: Evidence from micro-level data," Journal of Asian Economics, Elsevier, vol. 100(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nathan Palardy & Marco Costanigro & Joshua Berning & Jude Bayham, 2026. "Changes in Alcohol Retail Laws and Foot Traffic at Liquor Stores," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 48(2), pages 447-461, May.
    2. Christian Almer & Stefan Boes & Stephan Nüesch, 2017. "Adjustments in the housing market after an environmental shock: evidence from a large-scale change in aircraft noise exposure," Oxford Economic Papers, Oxford University Press, vol. 69(4), pages 918-938.
    3. Hans-Bernd Schaefer & Rok Spruk, 2024. "Islamic Law, Western European Law and the Roots of Middle East's Long Divergence: a Comparative Empirical Investigation (800-1600)," Papers 2401.14435, arXiv.org, revised Mar 2024.
    4. Lee, Yong-Jin Alex & Nilsson, Isabelle, 2025. "Estimating the effect of a state-level charging infrastructure funding program on plug-in electric vehicle adoption," Journal of Transport Geography, Elsevier, vol. 129(C).
    5. Nicholas Illenberger & Dylan S. Small & Pamela A. Shaw, 2019. "Regression to the Mean's Impact on the Synthetic Control Method: Bias and Sensitivity Analysis," Papers 1909.04706, arXiv.org.
    6. Shu He & Jing Peng & Jianbin Li & Liping Xu, 2020. "Impact of Platform Owner’s Entry on Third-Party Stores," Information Systems Research, INFORMS, vol. 31(4), pages 1467-1484, December.
    7. Gwenolé Le Velly & Céline Dutilly, 2016. "Evaluating Payments for Environmental Services: Methodological Challenges," PLOS ONE, Public Library of Science, vol. 11(2), pages 1-20, February.
    8. Dmitry Arkhangelsky & Guido Imbens, 2023. "Causal Models for Longitudinal and Panel Data: A Survey," Papers 2311.15458, arXiv.org, revised Jun 2024.
    9. Cheng, Zhonghua & Yan, Xueqin, 2025. "Environmental management system certification and corporate ESG greenwashing," Energy Economics, Elsevier, vol. 149(C).
    10. Roth, Jonathan & Sant’Anna, Pedro H.C. & Bilinski, Alyssa & Poe, John, 2023. "What’s trending in difference-in-differences? A synthesis of the recent econometrics literature," Journal of Econometrics, Elsevier, vol. 235(2), pages 2218-2244.
    11. Arne Henningsen & Guy Low & David Wuepper & Tobias Dalhaus & Hugo Storm & Dagim Belay & Stefan Hirsch, 2026. "Estimating Causal Effects With Observational Data: Guidelines for Agricultural and Applied Economists," Journal of Agricultural Economics, Wiley Blackwell, vol. 77(2), pages 356-382, June.
    12. Philipp Breidenbach & Timo Mitze, 2022. "Large-scale sport events and COVID-19 infection effects: evidence from the German professional football ‘experiment’," The Econometrics Journal, Royal Economic Society, vol. 25(1), pages 15-45.
    13. Massimo Bilancia & Domenico Vitale & Fabio Manca & Paola Perchinunno & Luigi Santacroce, 2024. "A dynamic causal modeling of the second outbreak of COVID-19 in Italy," AStA Advances in Statistical Analysis, Springer;German Statistical Society, vol. 108(1), pages 1-30, March.
    14. Goodman-Bacon, Andrew, 2021. "Difference-in-differences with variation in treatment timing," Journal of Econometrics, Elsevier, vol. 225(2), pages 254-277.
    15. Eicher, Theo S. & Eskimez, Reina Kawai & Newiak, Monique, 2025. "Effects of IMF-supported programs on gender inequality," European Journal of Political Economy, Elsevier, vol. 90(PB).
    16. Manlove, Jacob & Whitacre, Brian, 2019. "An evaluation of the Connected Nation broadband adoption program," Telecommunications Policy, Elsevier, vol. 43(7), pages 1-1.
    17. Wei Chen & Zaiyan Wei & Karen Xie, 2022. "The Battle for Homes: How Does Home Sharing Disrupt Local Residential Markets?," Management Science, INFORMS, vol. 68(12), pages 8589-8612, December.
    18. Kyunghoon Ban & D'esir'e K'edagni, 2022. "Robust Difference-in-differences Models," Papers 2211.06710, arXiv.org, revised Aug 2023.
    19. Christian Alemán-Pericón & Alexander Ludwig & Christopher Busch & Raül Santaeulàlia-Llopis, 2022. "A Stage-Based Identification of Policy Effects," Working Papers 1369, Barcelona School of Economics.
    20. Noémi Kreif & Richard Grieve & Dominik Hangartner & Alex James Turner & Silviya Nikolova & Matt Sutton, 2016. "Examination of the Synthetic Control Method for Evaluating Health Policies with Multiple Treated Units," Health Economics, John Wiley & Sons, Ltd., vol. 25(12), pages 1514-1528, December.

    More about this item

    JEL classification:

    • R00 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General - - - General
    • Z0 - Other Special Topics - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ibn:ibrjnl:v:14:y:2021:i:1:p:34. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Canadian Center of Science and Education (email available below). General contact details of provider: https://edirc.repec.org/data/cepflch.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.