China’s Trade in Asia and the World: Long run Relation with Short run Dynamics

Soumyananda Dinda ()

MPRA Paper from University Library of Munich, Germany

Abstract: This paper attempts to find the long run relation with short run dynamics of China’s trade in Asia and the world. Co-integration technique provides the economic integration of China’s export to the US and its import from Asian nations. This study observed that China is economically integrated with Asia and the world. China has double role in international trade – (i) China acts as an attractor of all inputs from Asia and (ii) China pushes the products in international market with a comparative advantage in price competition. This study also reveals that the speed of China’s import from Asia is faster than that of China’s export to the US.

Keywords: Economic Integration; production network; Co-integration; Asia; China; the US; Error correction; Double Engine of Growth; Export; Import; Long run; short run dynamics. (search for similar items in EconPapers)
JEL-codes: C01 C22 F15 O53 (search for similar items in EconPapers)
Date: 2011-04-11, Revised 2011-05-04
New Economics Papers: this item is included in nep-int, nep-sea and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:30664

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