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on China |
| By: | Shumin Qiu; Claudia Steinwender; Pierre Azoulay |
| Abstract: | We investigate the phenomenon of home bias in scientific citations, where researchers disproportionately cite work from their own country. We develop a benchmark for expected citations based on the relative size of countries, defining home bias as deviations from this norm. Our findings reveal that China exhibits the largest home bias across all major countries and in nearly all scientific fields studied. This stands in contrast to the pattern of home bias for China’s trade in goods and services, where China does not stand out from most industrialized countries. After adjusting citation counts for home bias, we demonstrate that China’s apparent rise in citation rankings is overstated. Our adjusted ranking places China fourth globally, behind the US, the UK, and Germany, tempering the perception of China’s scientific dominance. |
| JEL: | F14 I23 O32 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32468&r= |
| By: | Kluge, Janis |
| Abstract: | Russia's full-scale invasion of Ukraine has fundamentally changed the terms of Russia-China economic relations. Economic cooperation with China has become vital for the Russian economy. Trade turnover between Russia and China has increased significantly since February 2022. However, Chinese companies remain hesitant about investing in Russia. Energy cooperation remains the backbone of Sino-Russian cooperation, but the expansion of Russian exports is hindered by infrastructure limitations. Russian arms exports have declined in recent years. Meanwhile, China exports large quantities of dual-use goods to Russia, which are urgently needed by the Russian military industry. Sino-Russian cooperation in the digital economy has been hit hard by Western sanctions. China's digital giants cancelled several projects in Russia due to fears of secondary U.S. sanctions. Russia's trade with China is mainly conducted in Chinese yuan. However, Russia continues to rely on the U.S. dollar for trade with the rest of the world. |
| Keywords: | Russia-China economic rlations, invasion of Ukraine, energy cooperation, arms exports, dual-use goods, Russian military industry, digital economy, yuan, U.S. dollar |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:zbw:swprps:296472&r= |
| By: | Justin R. Pierce; Peter K. Schott; Cristina Tello-Trillo |
| Abstract: | We examine US workers' employment and earnings before and after trade liberalization with China. Among workers initially employed in manufacturing, we find substantial and persistent declines in both outcomes, with indirect exposure via input-output linkages exacerbating the negative effects of direct exposure. For workers initially employed outside manufacturing, however, we find that the positive impact of greater upstream exposure via inputs more than offsets the adverse impacts of own- and downstream exposure, inducing relative earnings gains. We also find that spatial exposure is more influential than industry exposure. |
| JEL: | F0 F13 J30 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:32438&r= |
| By: | Debin Ma (All Souls College, Oxford University); Jared Rubin (Chapman University) |
| Abstract: | This paper revisits the old theses of the contrasting paths to modernization between Japan and China. It develops a new analytical framework regarding the role of ideology and ideological change—Meiji Japan’s decisive turn towards the West pitted against Qing China’s lethargic response to Western imperialism—as the key driver behind these contrasting paths. Our framework and historical narrative highlight the contrast between Tokugawa Japan’s feudal, decentralized political regime and Qing China’s centralized bureaucratic system as a key determinant driving the differential patterns of ideological realignment. We argue that the 1894-95 Japanese naval victory over China could not be justified under the prevailing Imperial Chinese ideology and thus served as the catalyst for China’s subsequent ideological transformation, which occurred via borrowing Japan’s successful Meiji reforms of both institutions and ideology. Our analytical framework, developed from a comparative historical narrative, sheds new insights on the importance of ideology and ideological change for our understanding of political and economic change. |
| Keywords: | ideology, ideological change, China, Japan, economic development, economic divergence, Meiji Reform, centralization, decentralization |
| JEL: | N35 N45 N75 O33 O38 Z10 |
| Date: | 2024 |
| URL: | https://d.repec.org/n?u=RePEc:chu:wpaper:24-09&r= |
| By: | Yibo Qiao; Nicola Cortinovis; Andrea Morrison; |
| Abstract: | This article investigates how MNEs influence the export behavior of domestic firms in the context of China. We conceptually disentangle different MNE spillovers related to local export dynamics, linking in a unique framework specific spillover mechanisms, channels, activation conditions and type of knowledge conveyed. Empirically, our analysis relies on a panel dataset containing all Chinese manufacturing firms in the period 2000-2007. The results show that relatedness linkages matter in the context of export quantity, while forward-backward linkages matter for the sophistication of export. These findings suggest that relatedness linkages convey mainly marketing-related knowledge spillovers, while forward-backward linkages are diffusing mainly product-related knowledge spillovers. |
| Keywords: | Relatedness, forward-backward linkages, multinational enterprises, export, innovation, China |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:egu:wpaper:2415&r= |
| By: | James E. Anderson (Boston College) |
| Abstract: | Intense US-China commercial rivalry is quantified in this paper with novel non-parametric relative resistance sufficient statistics. The accounting method minimizes the demand specification error variance in revealed resistances. China’s manufacturing seller incidence falls (seller price rises) 7.6% yearly as China’s sales share quadruples over 2000-14. US seller incidence rises 4.1% yearly as US sales share halves. Domestic trade shares closely fit revealed relative resistances with trade elasticity equal to one. Industrial policy pays for itself in suggestive projections. A 10% rise in US 2014 sales share reduces seller incidence 6.0%, exports rise and net benefit is positive. |
| Keywords: | Non-parametric, seller incidence, terms of trade |
| JEL: | F10 F14 |
| Date: | 2024–05–29 |
| URL: | https://d.repec.org/n?u=RePEc:boc:bocoec:1075&r= |
| By: | Zhang, Yuting (University of Melbourne); Zhao, Jin (Shanghai Jiao Tong University); Yu, Zhangsheng (Shanghai Jiao Tong University); Wang, Guanghai (Shanghai Jiao Tong University); Zhang, Jun (Shanghai Jiao Tong University); Jiang, Fan (Shanghai Jiao Tong University); Wu, Saishuang (Shanghai Jiao Tong University); Zhang, Yue (Shanghai Jiao Tong University); Zhang, Donglan (New York University); Chen, Xi (Yale University) |
| Abstract: | During the first wave of the COVID-19 pandemic, Shanghai implemented lockdown measures to stop transmission of the virus. Over 26 million residents, including 0.8 million children aged 3-6, were confined at home. This study leveraged a city-wide cohort of preschool children - the Shanghai Children's Health, Education and Lifestyle Evaluation, Preschool (SCHEDULE-P) - and used a quasi-experimental design to study the impact of lockdown on preschool children's mental health and changes in their home environment and lifestyles. Two cohorts - the pre-pandemic cohort and the pandemic cohort - were investigated and compared using the difference-in-differences approach. The Strengths and Difficulties Questionnaire was used to screen children who were at risk for mental health distress. The Index of Childcare Environment questionnaire was used to evaluate the quality and quantity of stimulation and support available to children in their family environment. Children's screen time, sleep duration, and household socioeconomic status were also queried. The results showed that having experienced lockdown and home confinement was associated with a 3.1% increase in the percentage of children at risk for mental health distress, was associated with 21.2 minutes/day longer screen time, 15.7 minutes/day longer sleep duration, and a less favorable family environment. Children of parents with lower levels of education were more likely to experience mental health challenges associated with the lockdown. |
| Keywords: | lockdown, preschoolers, mental health, home environment, lifestyle, China, COVID-19 |
| JEL: | I18 I12 H75 I28 C23 |
| Date: | 2024–04 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp16971&r= |
| By: | Hong Yuan; Minda Ma |
| Abstract: | The transportation sector is the third-largest global energy consumer and emitter, making it a focal point in the transition toward the net-zero future. To accelerate the decarbonization of passenger cars, this work is the first to propose a bottom-up charging demand model to estimate the operational electricity use and associated carbon emissions of best-selling battery electric vehicles (BEVs) in various climate zones in China during the 2020s. The findings reveal that (1) the operational energy demand of the top-20 selling BEV models in China, such as Tesla, Wuling Hongguang, and BYD, increased from 601 to 3054 giga-watt hours (GWh) during 2020-2022, with BEVs in South China contributing more than half of the total electricity demand; (2) from 2020 to 2022, the energy and carbon intensities of the best-selling models decreased from 1364 to 1095 kilowatt-hour per vehicle and from 797 to 621 kilograms of carbon dioxide (CO2) per vehicle, respectively, with North China experiencing the highest intensity decline compared to that in other regions; and (3) the operational energy demand of BEV stocks in China increased from 4774 to 12, 048 GWh during 2020-2022, while the carbon emissions of BEV stocks rose to 6.8 mega-tons of CO2 in 2022, reflecting an annual growth rate of ~50%. In summary, this work delves into the examination and contrast of benchmark data on a nation-regional scale, as well as performance metrics related to BEV chargings. The primary aim is to support nationwide efforts in decarbonization, aiming for carbon mitigation and facilitating the swift evolution of passenger cars toward a carbon-neutral future. |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2405.10851&r= |
| By: | Cheung, Tai Ming |
| Abstract: | In the struggle for global geo-strategic and geo-economic supremacy between the United States and China, the technosecurity sphere where economics, technological innovation, and national security meet has become a principal battleground. Two contrasting models are pitted against each other: China’s state-led top-down approach and the United States’ marketdriven bottom-up system. Which of them will ultimately prevail will depend on how capable, robust, and adept they are in meeting the challenge of rapid and disruptive change. This brief examines the underpinnings of U.S.-China great power technosecurity competition and assesses what the countries’ different approaches imply for future techno-security rivalry. |
| Keywords: | Social and Behavioral Sciences, united states, china, techno-security, great power competition |
| Date: | 2022–07–15 |
| URL: | https://d.repec.org/n?u=RePEc:cdl:globco:qt8bn211cj&r= |
| By: | Zou, Baoling (Southwest University of Finance and Economics, Chengdu); Mishra, Ashok K. (Arizona State University) |
| Abstract: | Worldwide, most farms are small and family-operated. This study discusses the future of smallholder agriculture in China, where most farms are small, and farms' parcels are fragmented. The study puts forward a framework of vertical division of labor and specialized production in agriculture. We posit that hiring machinery services could be a pathway to connect smallholders with modern agriculture and achieve food security in China. Using household-level data from China, this study examines the impact of hiring machinery services on farm productivity, food security, and rural households' welfare. Findings show that mechanization services increased rural Chinese families' food security and agricultural productivity. Hiring machinery services improves smallholders' income by influencing the input efficiency of maize production. At the same time, increased mechanization implied greater participation in off-farm work. In other words, more family labor and time are allocated to off-farm work, which results in higher total income and increased consumption expenditures. Our findings highlight the importance of technology to improve smallholder agriculture and food security, not only in China but also in other South and Southeast Asian countries. |
| Keywords: | production efficiency, machinery services, household welfare, food security |
| JEL: | Q12 C36 J22 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp17008&r= |
| By: | Qing Guo; Siyu Chen; Xiangquan Zeng |
| Abstract: | The proliferation of internet technology has catalyzed the rapid development of digital finance, significantly impacting the optimization of resource allocation in China and exerting a substantial and enduring influence on the structure of employment and income distribution. This research utilizes data sourced from the Chinese General Social Survey and the Digital Financial Inclusion Index to scrutinize the influence of digital finance on the gender wage disparity in China. The findings reveal that digital finance reduces the gender wage gap, and this conclusion remains robust after addressing endogeneity problem using instrumental variable methods. Further analysis of the underlying mechanisms indicates that digital finance facilitates female entrepreneurship by lowering financing barriers, thereby promoting employment opportunities for women and also empowering them to negotiate higher wages. Specially, digital finance enhances women's bargaining power within domestic settings, therefore exerts a positive influence on the wages of women. Sub-sample regressions demonstrate that women from economically disadvantaged backgrounds, with lower human capital, benefit more from digital finance, underscoring its inclusive nature. This study provides policy evidence for empowering vulnerable groups to increase their wages and addressing the persistent issue of gender income disparity in the labor market. |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2405.15486&r= |
| By: | Kim, Dongsoo (Korea Institute for Industrial Economics and Trade) |
| Abstract: | China boasts an indomitable presence in the global market of critical mineral resources (CMRs). Not only is China a major producer of many of these rare minerals, but the country is also the largest importer and exporter of the minerals used in the manufacture of secondary battery materials. It is unlikely that any other country will topple China’s position in the global mineral market for some time. The United States, Europe, and Japan have been reconfiguring their CMR supply chains over the last several years with the aim of reducing their dependency on China. Korean EV battery makers import 80 to 90 percent of the CMRs they need from China. Washington has sought to restructure its CMR supply chains since it first openly declared its intent to contain China in 2017. Beijing has responded by restricting exports of key minerals and increasing investment in joint ventures with businesses overseas. The Korean government has sought to respond to the growing uncertainty cast by the US-China rivalry over CMR supply chains by designing its own strategy for securing access to CMRs. It has since made law the Special Act on the Security of National Resources, which lays the legislative foundation for an early warning system, stockpiling, import diversification, and infrastructure expansion. At the more fundamental level, however, Korea needs to increase its cooperation with resource-rich countries with a view to establishing an integrated CMR ecosystem. In the short term, however the Korean government needs to grow public stockpiles of key minerals and quickly nurture companies capable of refining and processing raw minerals. Policy support and incentives are also needed to encourage the private sector to grow its own stockpiles. In the long term, Korea needs to build and maintain trust with China and redesign policies to minimize the risks of supply crises. |
| Keywords: | critical mineral resources; CMR; US-China conflict; Korea; rare earths; battery materials; battery precursors; supply chains; international cooperation; Indonesia; Vietnam; India; stockpiling; mineral processing |
| JEL: | F51 F52 L65 L72 L78 Q34 Q37 Q38 |
| Date: | 2024–02–29 |
| URL: | http://d.repec.org/n?u=RePEc:ris:kietrp:2024_001&r= |
| By: | Sharma, Anjali; Peng, Wei; Urpelainen, Johannes; Dai, Hancheng; Purohit, Pallav; Wagner, Fabian |
| Abstract: | Transitioning to electric vehicles (EVs) is a central strategy for reducing carbon dioxide and air pollutant emissions. Although the emission impacts of reduced gasoline combustion and increased power generation are well recognized, the impacts of growing EV manufacturing activities remain understudied. Here we focus on China and India, two of the fastest growing EV markets. Compared to a 2030 baseline scenario, we find national emissions of air pollutants could increase in certain high EV penetration scenarios as a result of the emission-intensive mineral production and battery manufacturing processes. Notably, national sulfur dioxide emissions could increase by 16%-79% if all batteries have nickel- and cobalt-based cathodes and are produced domestically. Subnational regions that are abundant in battery-related minerals might emerge as future pollution hotspots. Our study thus highlights the importance of EV supply chain decisions and related manufacturing processes in understanding the environmental impacts of the EV transition. |
| Date: | 2024–05–07 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:27hvu&r= |
| By: | Chang, Simon (University of Western Australia); Chatterjee, Ishita (University of Western Australia Business School); Yu, Li (Central University of Finance and Economics) |
| Abstract: | We conducted a large-scale lost letter experiment with a novel design across all seasons in Beijing to study whether ambient air pollution influences helping behavior. We assessed air pollution by PM2.5 and PM10. Our novel design allowed us to collect real-time granular data from the streets. To mitigate endogeneity bias, we used the occurrence and intensity of thermal inversion as instrumental variables. We found that ambient air pollution increased the probability for a lost letter to be posted. Our finding suggests that when exposed to ambient air pollution, individuals may cope with the resulting adverse mental states by helping others. |
| Keywords: | air pollution, helping behavior, particulate matter, thermal inversion, China |
| JEL: | D9 Q5 |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp17011&r= |
| By: | Meiyi Zhuang; Xinyi Zhang; Hisahiro Naito |
| Abstract: | Health is one of the most critical factors that affects retirement behavior, and poor health may lead to early retirement among middle-aged and older adults. In China, where the population is aging rapidly, early retirement has significant implications for the economy. Recent studies have shown that air pollution, particularly PM2.5, can cause various illnesses, such as respiratory diseases, cardiovascular diseases, high blood pressure, and diabetes. In this paper, we analyze the effects of PM2.5 on the retirement and health of middle-aged and elderly people, assuming that the effects of air pollution on retirement are highly nonlinear and different for farmers and non-farmers. To control for potential endogeneity, we use 2SLS estimation. The regression results for non-farmers show that higher PM2.5 concentrations increase the probability of heart-related diseases and early retirement behavior. Specifically, we found that a 10 microgra per cubic meters(about one standard deviation) per cubic meter increase in PM2.5 concentration is associated with a 58% increase in the probability of heart-related diseases and a 57% increase in early retirement. This implies that roughly 12.1 million people could continue participating in the labor market if the government can reduce PM2.5 concentration by 10 microgram per cubic meter across the country. For farmers, we found that higher PM2.5 concentration is associated with a higher probability of lung-related diseases, but we did not find evidence that it increases early retirement. For both non-farmers and farmers, we did not find evidence that a higher PM2.5 concentration decreases financial wealth. These findings suggest that higher air pollution deteriorates the health of non-farmers, increases the disutility of work, and induces early retirement but does not affect the financial wealth of farmers and non-farmers. |
| Date: | 2024–05 |
| URL: | http://d.repec.org/n?u=RePEc:tsu:tewpjp:2024-001&r= |
| By: | Kim, Kye Hwan (Korea Institute for Industrial Economics and Trade); Yang, Jooyoung (Korea Institute for Industrial Economics and Trade); Cho, Eun Kyo (Korea Institute for Industrial Economics and Trade) |
| Abstract: | China and the United States are both pursuing strategic de-risking to navigate the murky waters of their relationship, fraught with conflict but bound by trade. De-risking is essentially a kind of industrial policy that focuses on dominating advanced technologies and industries, protecting technologies and markets, and courting the support of like-minded nations. Washington’s de-risking strategy for the semiconductor and battery sectors focuses on bolstering the competitiveness of American industries via internalization, supply chain diversification, and deeper partnerships with allies and friendly nations. China meanwhile is working to navigate the US sanctions regime on technologies and supply chains by establishing China-centered industrial ecosystems and weaponizing key battery inputs, such as rare earths and other important minerals. In the chip sector, the reconfiguration of supply chains would simultaneously feature an accelerated decoupling in cutting-edge nodes and the creation of alternative supply chains in Southeast Asia and India that support mature nodes. Battery supply chains are likely to be reshaped by the rise of major regional blocs or markets (encompassing China, South Korea, and Japan) and concentration of technologies and manufacturing capacity in a few multinational corporations. Korea should pursue a five-pronged industrial policy to respond to these developments. First, it needs to invest in the establishment of vertically integrated industrial clusters. Doing so could transform the country into a trusted hub and middleman. Second, the Korean government should adopt an industrial policy that fosters these clusters. Third, Korea should strive to become a major production hub capable of meeting the high standards necessitated by new protectionist policies. Fourth, Korean firms should establish overseas bases of these integrated clusters as well. Finally, Korea should work to promote green technology partnerships as a viable alternative to the current international trade order. Only with a multifaceted and systematic de-risking policy can Korea hope to overcome the challenges posed by the fragmentation wreaking havoc in contemporary supply chains. |
| Keywords: | semiconductors; chips; batteries; EVs; China; US; Korea; US-China conflict; de-risking; supply chains; supply chain risk; supply chain diversification; industrial policy; supply chain weaponization; Korea; KIET |
| JEL: | F51 F52 L52 L62 L63 L65 L72 |
| Date: | 2024–02–29 |
| URL: | http://d.repec.org/n?u=RePEc:ris:kietrp:2024_002&r= |