Analysis Of The Factors Affecting The Intra-industry Trade Of Chinese And American Pharmaceutical Products

After the middle of 20 century,as the continuous improvement of technology and the increasingly development of international division,the world trade form had being changed at the same time.From the traditional inter-industry trade changed to the form which inter-industry trade and intra-industry trade coexisted.The proportion of intra-industry trade had being get higher gradually.This new trade form brought severe challenge to traditional trade theory.Economists began correct traditional trade theory.The theory of intra-industry trade began rise.China is the largest developing country of the world.America is both the big trading country and big science and technology country.At the year of 2015,China has become America's largest trading partner,the third-largest export market and largest source of imports,for the first time surpass Canada.America is the global drug giant.Since 2012,China becoming world's second largest drug market next only to America,which surpassed Germany and Japan.The intra-industry trade of pharmaceuticals industry hold an important position in the intra-industry trade between China and America.The study of intra-industry trade of pharmaceuticals industry between China and America is very important for China enlarging the share of intra-industry trade and optimize trade structure to America.Firstly,this article analyzes the whole trade current situation of pharmaceuticals industry between China and America.And then this article apply GL index method to calculate the intra-industry trade index of pharmaceuticals industry between China and America.The article finds the level of the intra-industry trade is high as a whole.The level of intra-industry trade of chemical raw medicine and biological pharmacy is a higher degree.The intra-industry trade of hygienic material is low.The article apply GHM index method calculate the intra-industry trade type of three kinds of subdivide industry.The conclusion is that these three kinds of trade mode belong to high-level vertical intra-industry trade.Secondly,article apply the empirical analysis to analyze the key factor which affect the level of intra-industry trade.The article sets up measurement model respectively from the perspective of new trade theory and synthesis trade theory.Model apply the trade data which between 2001 to 2014 to analyze.It is the conclusion that there is a positive correlation between intra-industry trade and ES(Economy of Scale),MS(Market Structure),TP(Technological Progress),PD(Product Differentiation),DNI(national income per capital).There is a negative relationship between intra-industry trade and FDI(International Direct Investment).Finally,according to practical results the article put forward a few targeted suggestions,such as promote domestic pharmaceuticals industry economy of scale,strengthen the construction of talent team,improve the level of national income,complete invitation of tender and medical treatment insurance policy and so on.