Research On The Pattern Of Trade And Its Influence On Economic Growth

At present, China is still a'small country'in the world, as it is not the decision maker on price of key products. However, since 1999, the export scale of high technology products has been increased dramatically because of the promotion of technology. In the same time, the competition strength of high technology products raised a lot. The two factors bring to improvement of export structure and change of trade situation.Therefore, we need intensively analyze the present trade situation, and discuss whether it is on the process of'Made in China'or'Created in China'through research on the relationship of high technology industry and economic growth.The first chapter is introduction, introducing the background of this paper. Generally speaking, the export of high technology products indeed becomes the engine of economic growth and international competition. As it is saying,'Money speaks Mandarin'. FDI are all interested in the high technology industry. Meanwhile, the input of human resource and physical materials in our domestic industries gradually makes sense.The second chapter is the review on the researches of trade situation and economic growth. It identifies high technology industry and its competition strength. Professors disputes on the distribution of export industry in China. Most research papers agree that increase of export brings to the increase of economic growth. However, they argue whether FDI plays an active or negative role in the process.We select trade mode and high technology competition strength as the related indexes to analyze the changing trade situation. As it shows general trade occupied a more and more important role comparing with processing trade. Meanwhile, we compare the high technology competition strength and use TCI index to show the trend. As a result, the strength has become stronger and stronger, so we can say that China is on the process of'Created'in China. This is the third chapter.For the fourth chapter, we do intensively research on the high technology products and economic growth. We firstly analyze the ADF and Johansen value; then do the Granger test to see cause and effect result. Through the research, we know that the high technology products do influence economic growth. We also use panel data to do research on the FDI to see its effects on the economic growth. In the main industries, such as medication and IT, FDI has active effect on the economic growth. At the same time, the improvement of industry also contributes to the changing trade situation and economic growth.The fifth chapter is the conclusion and strategic suggestions. In all, we conclude that(1) China now is on the process the intensive change on the trade situation;(2) High technology products promote the economic growth and FDI, restructure of domestic industry are the way. According to the situation, we need create good competition environment for FDI, cooperating with the promotion of technology.