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Vertical Specialization,Division Status And The Welfare Effect Of Trade

Posted on:2018-09-27Degree:DoctorType:Dissertation
Country:ChinaCandidate:G J ZhengFull Text:PDF
GTID:1319330515451410Subject:International Trade
Abstract/Summary:PDF Full Text Request
The primary aim of a nation's participation in the vertical specialization lies in the improvement of comprehensive benefits and coordinated development of economic and environment.There are some new characteristics in trade benefits distribution in the setting of international vertical specialization compared to conventional labor division mode.Each country or area involved in the global value chain according to their factor endowment and comparative advantages,the traditional trade surplus or volume cannot reflect trade gains accurately.And global production network provides good opportunities to carbon and pollution transformation from developed countries.Under this background,it is imperative to solve the issues like how to measure trade gains and distribution among countries,how to judge the division status in global value chain and how to evaluate the environmental effect and comprehensive effect of vertical specialization.This paper reevaluates China's status in the international division of labor and analyses the economic effect,environment effect and comprehensive effect of vertical specialization from the perspective of domestic value-added and carbon emission efficiency,using combination research methods such as theoretical analysis,empirical test and comparative analysis and data base like EU's WIOD,World Bank,Statistics Yearbook and so on.The research shows that:(1)China's vertical specialization experienced rise and then fall,Chinese open economy has completed phase of join the global value chain and now is speeding up into the phase of ascension the global value chain.East Asia is the axis area of China's participation in international division of labor,because of economic volume,factor endowment and developmental stage,there is a significant difference in the vertical specialization among different countries and industries.China has a bigger VS ratio in upper-middle and high technology industries compared to developed countries,which means it relies on the import input heavily.(2)Trade benefit distribution is changed under the vertical specialization circumstance;it's significant and meaningful to study the current division status and trade distribution mode base on the perspective of value-added.It showed that most of Chinese trade benefits contribute to the gains of developed countries under the domestic value-added trade statistics system,both Chinese trade added value and domestic value-added ratio is relative limited,while developed countries gained greater trade profits.So the comparison revealed that China's division status is still low on the whole.GVC-participation and GVC-position of each manufacturing industry is different from each other,which depend on a range of factors,for example,industry features,factor endowment difference and division form.Through the analysis we can find that international division of labor is mostly mastered by developed countries.(3)When it comes to trade economic effect in vertical specialization,the pull degree of one's exports to its economic growth is determined by value-added ratio effect,export structure effect and demand expansion effect.While Chinese export products structure has been gradually optimized,it still relies on demand expansion effect to benefit from international division of labor because of a lack of advanced factors of production.That is the value-added ratio effect is negative and trade growth of endogenous is insufficient.Division status,factor endowment and domestic productivity ability are the key factors to improve the trade economic effect.(4)When it comes to trade environment effect in vertical specialization,China takes more emission reduction responsibility than its actual emissions.While vertical specialization can facilitate the improvement of carbon efficiency through technology spillover effect,especially in technology-intensive industries,China cannot be avoided remaining in a dilemma of left side of "Kuznets Curve" because of limitations in technical level,structure and scale of export products.We need to adopt cooperation optimal strategy of technology and export structure.(5)Through vertical specialization on comprehensive welfare effect analysis,which contains economic effect and environment effect,we find that global division of labor has a greater positive effect on comprehensive welfare than that of conventional trade mode,and it is closely related to accumulation of human resource of each nation,there has a threshold.If a nation's technical level is lower than the threshold,take part in the vertical specialization may deteriorate its comprehensive welfare.The empirical analysis reconfirmed that human resource accumulation can promote sustainable economic development.Finally,according to the conclusions of this paper,we propose suggestions and measures to how China can get more comprehensive welfare in setting of new division pattern.
Keywords/Search Tags:international vertical specialization, division status, value-added ratio, carbon emission efficiency, comprehensive welfare
PDF Full Text Request
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