An empirical study of the international co-production effect on trade: evidence from the Chinese movie industry

Jing Yan and Feng Yu

Applied Economics Letters, 2022, vol. 29, issue 8, 682-686

Abstract: This article investigates thhe effect of international co-production on trade. Co-production, which allows a foreign producer to partner with domestic firms, has emerged as a way of promoting trade. Using the data on the Chinese movies, we find that international co production has a positive effect on both the extensive and intensive margins. We also show that the co-production effect is mainly explained by improvement in quality. Our research investigates international co production, a less explored topic in the literatures of international economics, which mainly focus on export and FDI.

Date: 2022
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DOI: 10.1080/13504851.2021.1884827

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