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No Razor's Edge: Reexamining Alwyn Young's Evidence for Increasing Interprovincial Trade Barriers in China

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  • Carsten A. Holz

    (Social Science Division, Hong Kong University of Science and Technology)

Abstract

Alwyn Young (2000) argues that barriers to interprovincial trade in China have increased during the reform period. This paper critically examines each of his five arguments and the evidence he presents. In all five instances, the argument is problematic and the evidence not robust. A comparison with the United States shows the Chinese evidence to be well within the range of that of a normal, relatively integrated large economy. Copyright by the President and Fellows of Harvard College and the Massachusetts Institute of Technology.

Suggested Citation

  • Carsten A. Holz, 2009. "No Razor's Edge: Reexamining Alwyn Young's Evidence for Increasing Interprovincial Trade Barriers in China," The Review of Economics and Statistics, MIT Press, vol. 91(3), pages 599-616, August.
  • Handle: RePEc:tpr:restat:v:91:y:2009:i:3:p:599-616
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    Cited by:

    1. Herrmann-Pillath, Carsten & Libman, Alexander & Xiaofan, Yu, 2010. "State and market integration in China: A spatial econometrics approach to 'local protectionism'," Frankfurt School - Working Paper Series 137, Frankfurt School of Finance and Management.
    2. Hong, Chang, 2012. "Trade liberalization, wages, and specialization in China," Journal of the Japanese and International Economies, Elsevier, vol. 26(4), pages 561-577.
    3. Li, Zhigang & Yu, Xiaohua & Zeng, Yinchu & Holst, Rainer, 2012. "Estimating transport costs and trade barriers in China: Direct evidence from Chinese agricultural traders," China Economic Review, Elsevier, pages 1003-1010.
    4. Markus Eberhardt & Zheng Wang & Zhihong Yu, 2013. "Intra-National Protectionism in China: Evidence from the Public Disclosure of ‘Illegal’ Drug Advertising," Discussion Papers 2013-04, University of Nottingham, GEP.
    5. Loren Brandt & Trevor Tombe & Xiadong Zhu, 2013. "Factor Market Distortions Across Time, Space, and Sectors in China," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 16(1), pages 39-58, January.
    6. Breinlich, Holger & Ottaviano, Gianmarco I.P. & Temple, Jonathan R.W., 2014. "Regional Growth and Regional Decline," Handbook of Economic Growth,in: Handbook of Economic Growth, edition 1, volume 2, chapter 4, pages 683-779 Elsevier.
    7. Cao, Kang Hua & Birchenall, Javier A., 2013. "Agricultural productivity, structural change, and economic growth in post-reform China," Journal of Development Economics, Elsevier, pages 165-180.
    8. Chao Li & John Gibson, 2014. "Spatial Price Differences and Inequality in the People's Republic of China: Housing Market Evidence," Asian Development Review, MIT Press, vol. 31(1), pages 92-120, March.
    9. Eberhardt, Markus & Wang, Zheng & Yu, Zhihong, 2016. "From one to many central plans: Drug advertising inspections and intra-national protectionism in China," Journal of Comparative Economics, Elsevier, pages 608-622.
    10. Loren Brandt & Trevor Tombe & Xiadong Zhu, 2013. "Factor Market Distortions Across Time, Space, and Sectors in China," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 16(1), pages 39-58, January.
    11. Xing, Weibo & Whalley, John, 2014. "The Golden Tax Project, value-added tax statistics, and the analysis of internal trade in China," China Economic Review, Elsevier, vol. 30(C), pages 448-458.
    12. Bai, Chong-En & Ma, Hong & Pan, Wenqing, 2012. "Spatial spillover and regional economic growth in China," China Economic Review, Elsevier, vol. 23(4), pages 982-990.
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    14. Fariha Kamal & Mary E. Lovely & Puman Ouyang, 2017. "Does deeper integration enhance spatial advantages? Market access and wage growth in China," World Scientific Book Chapters,in: International Economic Integration and Domestic Performance, chapter 14, pages 255-270 World Scientific Publishing Co. Pte. Ltd..
    15. Jeffrey S. Zax & Yin He, 2016. "The Law Of One Price In Chinese Factor Markets," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 61(04), pages 1-31, September.
    16. Li, Zhigang & Yu, Xiaohua & Zeng, Yinchu, 2011. "Estimating the impact of transport efficiency on trade costs: Evidence from Chinese agricultural traders," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114384, European Association of Agricultural Economists.
    17. Ouyang, Puman & Fu, Shihe, 2012. "Economic growth, local industrial development and inter-regional spillovers from foreign direct investment: Evidence from China," China Economic Review, Elsevier, vol. 23(2), pages 445-460.
    18. Herrmann-Pillath, Carsten & Libman, Alexander & Yu, Xiaofan, 2014. "Economic integration in China: Politics and culture," Journal of Comparative Economics, Elsevier, pages 470-492.
    19. repec:esx:essedp:729 is not listed on IDEAS
    20. Holz, Carsten A., 2011. "The unbalanced growth hypothesis and the role of the state: The case of China's state-owned enterprises," Journal of Development Economics, Elsevier, pages 220-238.

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