China And India Merchandise Trade To The Development Of Empirical Research

With an empirical analysis, this paper mainly focuses on the development of the trade between China and India through RCA index, IIT index and so on, getting the conclusions as follows: the development of the trade between China and India have been rising quickly; through cross-section analysis, it finds that there are many positive effects appearing both in the industry and in the agriculture. Although bilateral trade between the two countries has not yet been fully developed, there exists trade potential to be further developed. Policy suggestions are therefore made based on the result of the research.