Factors Driving Openness in China Trade: Corruption, Exchange Rate Volatility, and Macro Determinants

IF 0.3 Q4 BUSINESS, FINANCE

Review of Pacific Basin Financial Markets and Policies Pub Date : 2021-06-21 DOI:10.1142/s0219091521500168

T. Nguyen, T. Huynh, W. Wong

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引用次数: 6

Abstract

Trade openness plays a critical role in the growth of China and its partners. Using a system generalized method of moments (system GMM) estimator and quantile regression, a new viewpoint is presented on trade openness in China for institutional and economic factors over 15 years with 192 economies. The empirical findings provide two contrasting views. Intriguingly, China is seeking to broaden this strategy to countries with less control over corruption and low political stability. By categorizing countries as advanced, emerging, and developing, the study provides the evidence that exchange rate volatility has a negative effect on trade openness, while investment, labor force, and broad money share a positive impact. This study suggests that Chinese policymakers should further boost financial reform to promote trade development. Other countries desirous of greater trade openness with China should have more efficient management of macroscopic economic factors. Finally, the study also examines the two main groups of international offshore financial center from econometric convergence test and club clustering for trade openness in China from the worldwide perspective.

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推动中国贸易开放的因素：腐败、汇率波动和宏观决定因素

贸易开放对中国及其合作伙伴的发展起着至关重要的作用。利用系统广义矩估计方法和分位数回归，对192个经济体15年来的制度和经济因素对中国贸易开放提出了新的看法。实证研究结果提供了两种截然不同的观点。有趣的是，中国正在寻求将这一战略扩大到对腐败控制较少、政治稳定度较低的国家。通过将国家分为发达国家、新兴国家和发展中国家，该研究提供了证据，表明汇率波动对贸易开放有负面影响，而投资、劳动力和广义货币也有积极影响。这项研究表明，中国决策者应该进一步推动金融改革，以促进贸易发展。其他希望加强对华贸易开放的国家应该更有效地管理宏观经济因素。最后，本研究还从世界范围内对中国贸易开放的计量经济学趋同检验和俱乐部集群两个主要群体进行了考察。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

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来源期刊

Review of Pacific Basin Financial Markets and Policies BUSINESS, FINANCE-

CiteScore

1.30

自引率

11.10%

发文量

期刊介绍： This journal concentrates on global interdisciplinary research in finance, economics and accounting. The major topics include: 1. Business, economic and financial relations among the Pacific rim countries. 2. Financial markets and industries. 3. Options and futures markets of the United States and other Pacific rim countries. 4. International accounting issues related to U.S. companies investing in Pacific rim countries. 5. The issue of and strategy for developing Tokyo, Taipei, Shanghai, Sydney, Seoul, Hong Kong, Singapore, Kuala Lumpur, Bangkok, Jakarta, and Manila as international or regional financial centers. 6. Global monetary and foreign exchange policy, and 7. Other high quality interdisciplinary research in global accounting, business, economics and finance.