Per Capita Income And Chinese Imported Food Prices

There is a clear “high price phenomenon” in China's imported food,which is an important issue in the context of China's high import food growth.This paper first constructs a theoretical model,establishes a theoretical relationship between per capita income and import price,and then uses a highly static enterprise-imported food trade data provided by the General Administration of Customs of China,using a static panel estimation model and an IV estimation model with two-way fixed effects.Empirical analysis of the impact of China's per capita income on China's imported food prices,and the key role of imported food quality in the formation of China's imported food "high price phenomenon." The results of the study show that the increase in per capita income has a significant positive impact on the price of imported food in China.At the same time,this result is heterogeneous due to different product quality,the positive impact of China's per capita income on Chinese imported food prices only exists in high quality food.This indirectly shows that although China's per capita income increase generally boosts the price of imported food in China,it is mainly achieved by importing higher quality food.With the quality of imported foods at a certain level,China's per capita income growth has led China to pay more attention to “cost-effective” food imports.From a policy perspective,when implementing food supply-side reforms,China should pay more attention to improving the quality of food to meet the high-quality preferences of consumers.In addition,the international comparison of Chinese imported food prices has also demonstrated that the increase in per capita income has a significant positive impact on imported food prices.