Replication data for: WTO Accession and Performance of Chinese Manufacturing Firms
Principal Investigator(s): View help for Principal Investigator(s) Loren Brandt; Johannes Van Biesebroeck; Luhang Wang; Yifan Zhang
Version: View help for Version V1
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Project Citation:
Brandt, Loren, Van Biesebroeck, Johannes, Wang, Luhang, and Zhang, Yifan. Replication data for: WTO Accession and Performance of Chinese Manufacturing Firms. Nashville, TN: American Economic Association [publisher], 2017. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-11. https://doi.org/10.3886/E112892V1
Project Description
Summary:
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We examine the effects of trade liberalization in China on the evolution of markups and productivity of manufacturing firms. Although these dimensions of performance cannot be separately identified when firm output is measured by revenue, detailed price deflators make it possible to estimate the average effect of tariff reductions on both. Several novel findings emerge. First, cuts in output tariffs reduce markups, but raise productivity. Second, pro-competitive effects are most important among incumbents, while efficiency gains dominate for new entrants. Third, cuts in input tariffs raise both markups and productivity. We highlight mechanisms that explain these findings in the Chinese context.
Scope of Project
JEL Classification:
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D24 Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
F13 Trade Policy; International Trade Organizations
L25 Firm Performance: Size, Diversification, and Scope
L60 Industry Studies: Manufacturing: General
O14 Industrialization; Manufacturing and Service Industries; Choice of Technology
P31 Socialist Enterprises and Their Transitions
P33 Socialist Institutions and Their Transitions: International Trade, Finance, Investment, Relations, and Aid
D24 Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
F13 Trade Policy; International Trade Organizations
L25 Firm Performance: Size, Diversification, and Scope
L60 Industry Studies: Manufacturing: General
O14 Industrialization; Manufacturing and Service Industries; Choice of Technology
P31 Socialist Enterprises and Their Transitions
P33 Socialist Institutions and Their Transitions: International Trade, Finance, Investment, Relations, and Aid
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