Study On The Effect Of Firm Heterogeneity On The Export Of Chinese Enterprises

Trade pattern has been one of the key issues of economics arguments. Analysis of the structure of trade is actually the analysis of trade patterns. This is one of the most important areas of persistent of the international trade theory and empirical analysis.During the early nineteenth century to the late twentieth century, nearly 200 years, there are four theories in the research on trade patterns and trade structure: the traditional international trade theory, neoclassical theory of international trade, new trade theory and the new new trade theory. The first third theories all assume that firms are fully homogeneous. This reality does not match the performance of international trade. There are some significant differences between the various companies within the same industry in terms of firm size, productivity, technology and capital-intensive nature of the ownership and geographical distribution. Later, new new trade theory overturned the assumption of firm homogeneity, assuming the heterogeneity hypothesis.Currently one research of heterogeneous of new trade theory is focus on whether the enterprise’s export model is the same as the conclusion of Melitz model: firms with higher productivity choose to export, the others with less productivity will stay in the domestic market. Based on the heterogeneous of new trade theory and the current situation of Chinese firms’ export, this paper carry on theoretical and empirical research.Further, with the introduction of enterprise scale, technology and capital elements, the nature of the ownership and the geographical distribution of heterogeneous elements, it studies the effect of multiple firm heterogeneities to the export to our country.This paper is based on "Chinese industrial enterprises database." After screening the database, it divides 8 representative sectors into four. Firstly, it tests the effect of single factor to firms’ export. We find there have been "export-productivity paradox" in different industries different years. This shows that all the sectors aren’t in full compliance with the heterogeneity new trade theory. And the productivity isn’t the only heterogeneous elements. Then it introduces some multiple factors such as the scale,technology and capital-intensive, the ownership and geographical distribution. We find that each heterogeneity have various effect, therefore when we study on the effect of firm heterogeneity on the export of Chinese enterprises, we should use the multiple factors.