The Impact Of Key-industry Policy On Export Reallocation

Based on the data of Chinese Customs Trade Data from 2000 to 2013,and the data of key-industry policy extracted from the 9^th to 12^th Five-Year Plans of each province,this paper investigates the impact of key-industry policy on export reallocation,and studies the price and quality of products exported from different types of enterprises to study their mechanism.Firstly,this paper constructs the export redistribution measurement index,and simply returns the export data to verify the effect of export reallocation,and important role of the extensive margin of export entries and exits on the growth of export market share.Second,the key industry policy variables are used as explanatory variables,and the quantity or market share of different types of enterprises are taken as explanatory variables.In the empirical part,the full sample is first used for regression.This article excludes processing trade exports from the original sample,and returns the export sample that retains general trade to regression.After that,the data will be retained as the samples of only state-owned enterprises and wholly foreign-owned enterprises for analysis.Empirical analysis shows that government support for some industries will lead to export reallocation among different types of enterprises in product dimension.Product markets receive policy support from governments can attract more potential exporters for market share,and induce exporters transfer in from other industries.At the same time,the market competition can also accelerate the demise of small and unproductive enterprises,and promote the supersession of firms in product market.Moreover,comparing the export dynamic for different types of enterprises,this article examines the impacts of key-industry policy on export price and product quality,which found the policy support reduces the barriers to entry of export market,more low-price and low-quality enterprises crowd into the market.On the whole,although policy support can promote the supersession of enterprises and bring vitality,the government should also consider the mechanism of quality upgrading in this process,so as to ensure the sustainable development of trade with optimizing the process of export reallocation.