A Study On The Microeconomic Effect Of Trade Friction

With the rapid development of China's economy,China has become the world's second largest economy and the largest exporter.But at the same time,corresponding to the rapid development of foreign trade,the number of trade frictions suffered by China also began to increase,especially the trade frictions dominated by anti-dumping.Previous studies mainly focused on the impact of antidumping barriers on the macro level,while the literature on the microeconomic effect of antidumping under the framework of enterprise heterogeneity is relatively scarce.Under the framework of heterogeneous trade theory,this paper attempts to evaluate the microeconomic effect of trade friction,in order to reveal the harmfulness of trade friction in theory and experience.In this dissertation,under the framework of Melitz and Ottaviano's(2008)heterogeneous trade theory,through the introduction of antidumping tariffs,we first investigate the internal mechanism of the collection of antidumping tariffs on the export of enterprises,and put forward the proposition to be tested.Secondly,in order to make a more accurate evaluation of the performance of enterprises,this paper discusses the impact of anti-dumping duties on cost plus under the framework of mo.Thirdly,in the heterogeneous trade theory of enterprises represented by Melitz(2003)and the continuous production theory of Dixit and Grossman(1982),this paper integrates the location of global value chain into the heterogeneous enterprise model,and examines the impact of anti-dumping duty on the location of global value chain.The main conclusions of this paper are as follows:First,the export volume and the number of the enterprises involved in the anti-dumping cases are on the decline.Specifically,the incumbent enterprises are relatively stable in the export market,so the impact is relatively small,and the new enterprises entering the export market are often subject to greater trade disruption effect because they need to pay a certain fixed cost.Through the analysis of the mechanism of enterprises' entry and exit,we can find that after controlling the heterogeneity,the export of incumbent enterprises has not been reduced,which shows that incumbent enterprises have a certain ability to consolidate the market,and the ability to resist risks is greater than that of new enterprises.However,the results of heterogeneity also show that enterprises with high productivity,trade intermediaries and multi product export enterprises are not easy to exit the market after being impacted by trade,because these enterprises have high productivity,relatively large scale,can pay additional trade costs,and have stronger ability to resist risks,so they can continue to survive after being impacted by anti-dumping Most of the enterprises that quit the market are new ones with low efficiency.Second,foreign anti-dumping to China has significantly reduced the cost plus of enterprises.Through a series of robustness and heterogeneity tests on benchmark regression,no matter the ownership system,product structure,export market differences,factor intensity,etc.,the results are still stable.Through mechanism test,we find that the cost plus is affected by the price channel and competition effect.Specifically,by putting the price factor into the model,we find that the cost plus is influenced by the price channel and competition effect The impact of cost plus is still negative,so the price channel is one of the reasons for the decrease of cost plus.In addition,because of the anti-dumping,the competition effect of enterprises in China is intensified,so the cost plus is reduced.Third,the anti-dumping barrier has a positive effect on the global value chain position index,that is,the anti-dumping barrier makes the upstream index rise,which means that the anti-dumping has inhibited the rise of the global value chain position of enterprises.This paper finds that the processing trade is more vulnerable to the impact of anti-dumping barriers than the general trade.In the export market,the developed countries are more vulnerable to anti-dumping than the developing countries.Compared with the multi product enterprises,the single product enterprises are more likely to lead to the rise of the upstream degree after trade friction.By expanding the analysis,we study the impact of gvcl on firm performance.We find that gvcl significantly reduces firm performance under the influence of antidumping barriers.Based on the above conclusion,this paper puts forward two countermeasures and suggestions:In terms of internal strategy: first,we should give full play to the market advantages of major countries and actively expand domestic demand.Second,deepen reform internally and improve the efficiency of resource allocation.Third,improve China's position in the global value chain and promote the upgrading of the open economy.In the aspect of foreign strategy: first,establish the early-warning mechanism of trade friction between the government,industry association and enterprises.Second,promote the export diversification strategy of Chinese enterprises.Third,strengthen regional economic agreements and increase international cooperation.Fourth,with the help of WTO dispute settlement mechanism,we can effectively deal with trade friction.In addition to the introduction,this paper also includes seven chapters(see Figure 0-7).The specific arrangement is as follows:Introduction.This part focuses on the main background and significance of the research,the research scope,research ideas and content,research methods,research innovation and shortcomings.The first chapter is literature review.This chapter mainly studies from four aspects.First,it combs the research related to trade friction,heterogeneous enterprise trade theory,trade friction and enterprise heterogeneity.The second chapter is the historical review,characteristics and influence of international trade friction.This chapter first combs the trade frictions between the great powers with global significance since the opening of the new route,including the British French trade war,the smoot Hawley tariff trade war,the US Soviet trade war,the US Japan trade frictions,the US Europe trade frictions,and the US China trade frictions.Secondly,it analyzes the main characteristics of the trade frictions among the great powers,including the long duration and trade frictions The degree of trade frictions is gradually deepened and the harm is great,the main body of trade frictions is constantly expanding,the means of trade frictions are diversified,trade frictions are closely related to the change of domestic and international situation,and the means of solution is developed from bilateral to multilateral;thirdly,the impact of trade frictions on the micro economy is analyzed;finally,the conclusion of this chapter is made.The third chapter is the theoretical analysis of the microeconomic effect of trade friction.This chapter studies the impact of anti-dumping probability and anti-dumping duty on export and cost plus rate under the framework of heterogeneous enterprises.By taking into account the probability of antidumping,this paper gets the first and second research propositions,that is,the impact of trade friction on the binary margin of enterprises' exports;by taking into account the antidumping duty,this paper gets the third research proposition,that is,the impact of trade friction on the cost plus of enterprises;then,under the framework of heterogeneity,the global value chain position is included in the production cost function,and the trade friction is analyzed The fourth proposition is drawn from the mechanism of friction on the position of global value chain.The fourth chapter is the empirical study of the impact of trade friction on the export of enterprises.Based on the proposition in the third chapter,this chapter uses the double difference method,the global anti-dumping database and the China customs database(2000-2006)to verify proposition 1 and Proposition 2,and carries out the robustness test from many aspects,and comprehensively evaluates the impact of trade friction on the export of enterprises.The fifth chapter is trade friction and enterprise cost plus.In this chapter,we first use different methods to measure the cost plus rate of enterprises and other relevant indicators,and then combine the global anti-dumping database,China industrial enterprise database and China customs database.Then we use PSM method to select the control group,and use the double difference model to test the impact of trade friction on the cost plus rate of enterprises,and check the robustness and heterogeneity At the same time,the mechanism is analyzed and proposition 3 is verified.The sixth chapter is the impact of trade friction on the location of global value chain.This chapter first uses Wang Zhi's(2013)algorithm for reference to calculate the global value chain location indicators,and combines the global anti-dumping database,China industrial enterprise database and China customs database,uses PSM method to find out the control group,uses the dual difference model to empirically test the impact of trade friction on the global value chain location of enterprises,and then conducts robustness and heterogeneity On this basis,the mechanism is analyzed and proposition 4 is verified.The seventh chapter is the conclusion,countermeasures and suggestions as well as the research prospect of this paper.First of all,the conclusions of this paper are summarized,followed by the conclusions and policy implications,put forward countermeasures and suggestions,and finally summed up the shortcomings of the study and the future research prospects.