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Growth of Chinese Exports: An Examination of the Detailed Trade Data
Brett Barger (au); Robert F. Martin (au)
Over the past decade, Chinese exports have boomed, increasing far faster than GDP growth. What can account for this explosion? This paper uses Chinese export data combined with U.S. trade data to explore this question. Although exchange rate policy clearly boosted the trade surplus, and the structure of the economy, e.g. abundant cheap labor, encouraged investment, these alone cannot account for the rise in exports. Growth in exports is most likely a product of Chinese industrial policy and fortuitous timing. Key "new" technology goods, such as cell phones, LCD screens, and laptops played a role. Increased Chinese competition likely lowered U.S. mfg. employ. between 2000 and 2007. Charts and tables. A print on demand report.
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