Recently, the prestigious academic journal Review of International Economics has accepted the research paper on China’s trade liberalization co-authored by Prof. Antonio Rodriguez-Lopez and Prof. Yu Miaojie. The title of the paper is All-Around Trade Liberalization and Firm-Level Employment: Theory and Evidence from China. The abstract is as follows:
Abstract: Chinese firms faced an all-around trade liberalization process during the early 2000s: lower barriers from other countries on Chinese goods, and lower Chinese barriers on other countries’ goods and inputs. This paper disentangles the effects of each type of trade liberalization on Chinese firm-level employment. We find that reductions in Chinese and foreign final-good tariffs are associated with job destruction in low and mid-low productivity firms and job creation in high-productivity firms. Chinese final-good trade liberalization produces the largest firm-level employment responses, whereas the employment effects of Chinese input-trade liberalization are limited to job destruction in the least productive firms.
JEL Classification: F12, F14, F16
Keywords: firm-level employment, firm-level tariffs, heterogeneous firms
Introduction to the authors:
Prof. Antonio Rodriguez-Lopez is an associate professor at the Department of Economics, University of California, Irvine. He holds his PhD in Economics from University of California, Berkeley. His research focuses on international trade. He has published papers on top ranking journals including, among others, Review of Economic Studies, Journal of International Economics, and European Economic Review. He is a referee for academic journals including Canadian Journal of Economics, Economics Bulletin, Economic Inquiry, Economic Journal, European Economic Review, Industrial Relations, International Economic Review, International Review of Economics and Finance, Journal of Economic History, Journal of International Economics, Journal of International Money and Finance, Journal of Public Economics, Journal of Political Economy, Review of Economic Dynamics, Review of Economics and Statistics, Review of International Economics, Review of World Economics, Scottish Journal of Political Economy, and World Bank Economic Review.
Prof. Yu Miaojie is the deputy secretary of the CPC Committee and president of Liaoning University. He is a professor of National-level Talent Program, Distinguished Professor of Boya Program at Peking University, recipient of China’s National Science Fund for Distinguished Young Scholars, Outstanding Young Scientist of Beijing’s institutions of higher education. He holds his PhD in Economics from University of California, Davis. He is an economist with top 1% highly cited papers in global economic management, Executive Editor of International Trade and Journal of Chang’an University, and Deputy Editor of Review of International Economics. His main research areas are international trade and China’s economic development. He has published more than 150 papers in first-class journals at home and abroad, including Economic Journal, Review of Economics & Statistics, Journal of International Economics, Journal of Development Economics, and Economic Research Journal, as well as 22 monographs in Chinese and English. His research on China’s economic development has won prizes including the Royal Economics Award, and the Excellence Award of the 7th Wu Yuzhang Prize in Humanities and Social Sciences.
About the journal:
The Review of International Economics is devoted to the publication of high-quality articles covering a full range of topics in international economics including both controversial and innovative ideas and detailed contributions from other directly related fields such as economic development; trade and the environment; and political economy. Whether theoretical, empirical or policy oriented, its relevance to real world problems is a paramount concern. Review of International Economics is a well respected journal in its field, it will keep you up-to-date with the latest research and analysis. It will bring you coverage of a wide range of topics including trade theory, commercial policy, factor movements, multinational firms, economic integration, and exchange.
Read the full text:
All-Around Trade Liberalization and Firm-Level Employment Theory and Evidence from China.pdf