On the China Shock: A New Approach & Cross-Country Evidence
(2024) EKHS42 20241Department of Economic History
- Abstract
- This study proposes a new approach to decompose trade flows between their
supply- and demand-driven components as an alternative to the instrumental variable approach used in the literature. With the data obtained from this new approach, I run a cross-country analysis of Chinese imports on domestic labour markets across several margins. I find that Chinese manufacturing imports of final goods have substantially decreased the share of manufacturing employment in Western European and Northern American countries until 2018. However, I do not find a significant effect of technological progress on employment in these countries. In Eastern and Northern European and, Baltic States I find a marginal effect of trade on manufacturing. Whereas... (More) - This study proposes a new approach to decompose trade flows between their
supply- and demand-driven components as an alternative to the instrumental variable approach used in the literature. With the data obtained from this new approach, I run a cross-country analysis of Chinese imports on domestic labour markets across several margins. I find that Chinese manufacturing imports of final goods have substantially decreased the share of manufacturing employment in Western European and Northern American countries until 2018. However, I do not find a significant effect of technological progress on employment in these countries. In Eastern and Northern European and, Baltic States I find a marginal effect of trade on manufacturing. Whereas technological progress significantly contributes to the expansion of non-manufacturing employment in the period 2013-2018. Overall, trade and technology appear to be idiosyncratic across countries with further research needed to uncover any general trend. (Less)
Please use this url to cite or link to this publication:
http://lup.lub.lu.se/student-papers/record/9174800
- author
- Duhamel, Cyprien Michel Philippe Marie LU
- supervisor
- organization
- alternative title
- An exploration of trade competition in advanced economies
- course
- EKHS42 20241
- year
- 2024
- type
- H2 - Master's Degree (Two Years)
- subject
- language
- English
- id
- 9174800
- date added to LUP
- 2024-10-01 13:43:54
- date last changed
- 2024-10-01 13:43:54
@misc{9174800,
abstract = {{This study proposes a new approach to decompose trade flows between their
supply- and demand-driven components as an alternative to the instrumental variable approach used in the literature. With the data obtained from this new approach, I run a cross-country analysis of Chinese imports on domestic labour markets across several margins. I find that Chinese manufacturing imports of final goods have substantially decreased the share of manufacturing employment in Western European and Northern American countries until 2018. However, I do not find a significant effect of technological progress on employment in these countries. In Eastern and Northern European and, Baltic States I find a marginal effect of trade on manufacturing. Whereas technological progress significantly contributes to the expansion of non-manufacturing employment in the period 2013-2018. Overall, trade and technology appear to be idiosyncratic across countries with further research needed to uncover any general trend.}},
author = {{Duhamel, Cyprien Michel Philippe Marie}},
language = {{eng}},
note = {{Student Paper}},
title = {{On the China Shock: A New Approach & Cross-Country Evidence}},
year = {{2024}},
}