Why Chinese exports are becoming more sophisticated -- not just because of outsourcing

Feb. 25, 2008
Well, it's not just because of outsourcing from big companies, at least according to this research paper by a couple of economists. What Accounts for the Rising Sophistication of China's Exports? > by Zhi Wang, Shang-Jin Wei - #13771 ...

Well, it's not just because of outsourcing from big companies, at least according to this research paper by a couple of economists.

What Accounts for the Rising Sophistication of China's Exports?

> by Zhi Wang, Shang-Jin Wei - #13771 (ITI)

>

> Abstract:

>

> Chinese exports have become increasingly sophisticated. This has

> generated anxiety in developed countries as competitive pressure may

> increasingly be felt outside labor-intensive industries. Using

> product-level data on exports from different cities within China, this

> paper investigates the contributing factors to China's rising export

> sophistication. Somewhat surprisingly, neither processing trade nor

> foreign invested firms are found to play an important role in

> generating the increased overlap between Chinaâ?Ts export structure

> and that of high-income countries. Instead, improvement in human

> capital and government policies in the form of tax-favored high-tech

> zones appear to be the key to the country's evolving export structure.

> On the other hand, processing trade, foreign invested firms, and

> government-sponsored high-tech zones all have contributed

> significantly to raising the unit values of Chinese exports within a

> given product category.

>

> http://papers.nber.org/papers/W13771

Sponsored Recommendations

From concept to consumption: Optimizing success in food and beverage

April 9, 2024
Identifying opportunities and solutions for plant floor optimization has never been easier. Download our visual guide to quickly and efficiently pinpoint areas for operational...

A closer look at modern design considerations for food and beverage

April 9, 2024
With new and changing safety and hygiene regulations at top of mind, its easy to understand how other crucial aspects of machine design can get pushed aside. Our whitepaper explores...

Cybersecurity and the Medical Manufacturing Industry

April 9, 2024
Learn about medical manufacturing cybersecurity risks, costs, and threats as well as effective cybersecurity strategies and essential solutions.

Condition Monitoring for Energy and Utilities Assets

April 9, 2024
Condition monitoring is an essential element of asset management in the energy and utilities industry. The American oil and gas, water and wastewater, and electrical grid sectors...

Voice your opinion!

To join the conversation, and become an exclusive member of Machine Design, create an account today!