Political economy of China¡¯s trade policy: the evidence from industrial protection in 1990s

Bin Sheng ()
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Bin Sheng: The Institute of International Economics, Nankai University, Tianjin 300071, China

Frontiers of Economics in China-Selected Publications from Chinese Universities, 2006, vol. 1, issue 3, 406-432

Abstract: The theory of the political economy of trade policy, combining public choice and neoclassical trade theories, studies the level and pattern of trade intervention from the perspective of policy decision-making process, by stressing on income distribution instead of economic efficiency. The paper attempts to apply such an endogenous trade theory to an empirical study of China. On the basis of a formal revised model of political economy of trade protection, it tests theoretical hypotheses concerning the political and economic determinants of cross-sector trade protection in the Chinese industry at various periods. The results show that trade protection in China fits into China s national development strategy of fast catching-up with the developed world.

Keywords: political economy; China; trade policy; industrial protection (search for similar items in EconPapers)
JEL-codes: G12 G21 H54 (search for similar items in EconPapers)
Date: 2006
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Persistent link: https://EconPapers.repec.org/RePEc:fec:journl:v:1:y:2006:i:3:p:406-432

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