Do political relations affect international trade? Evidence from China’s twelve trading partners

Whitten, Gregory William; Dai, Xiaoyi; Fan, C. Simon; Pang, Yu

doi:10.1186/s41072-020-00076-w

Cited by 20 publications

(12 citation statements)

References 30 publications

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“…Nations with cooperative political relations will engage in more trade (Savage and Deutsch, 1960;Kunimoto, 1977;Mansfield & Pevehouse, 2000). Warmer political relations lead to larger increases (or smaller decreases) in trade while cooler relations have the opposite effect (Whitten et al, 2020). An important element of the BRI is to build interconnected trade networks.…”

Section: Policy Coordinationmentioning

confidence: 99%

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How does the belt and road initiative promote China's import?

Wang

Jiang

et al. 2023

Rev International Economics

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We estimate the policy effect of belt and road initiative (BRI) on China's import. We use highly detailed, product‐country level data from China Customs Trade Statistics Database which covers 5364 types of products and 201 economies from 2010 to 2017 to investigate the policy effects and the underlying mechanisms. We find that the BRI has significantly boosted China's imports from countries along the route. The BRI have significant expansion effect on imports of existing products as well as positive effects on imports of new product import and product exit, which means BRI may also contribute to the optimization of product structure and growth in value of China's imports. Moreover, BRI have positive effects on both general trade and processing trade. Mechanism analysis shows that policy coordination, cultural affinity, and maritime transportation connectivity have strong explanatory power on the policy effects of BRI. We also find that the BRI has played a "boosting" role for import boost for new RTA partner as well as non‐RTA members along the route. We further examine the impact of BRI on global bilateral trade, and the result shows that BRI has generally promoted bilateral trade among all countries along the route, not limited to origin‐China pairs.

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Section: Policy Coordinationmentioning

confidence: 99%

“…Nations with cooperative political relations will engage in more trade. Warmer political relations lead to larger increases (or smaller decreases) in trade while cooler relations have the opposite effect (Whitten et al, 2020). Economic cooperation policies may affect political relations positively (Gartzke et al, 2001).…”

Section: Literature Reviewmentioning

confidence: 99%

How does the belt and road initiative promote China's import?

Wang

Jiang

et al. 2023

Rev International Economics

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“…It is also possible that the highly dynamic nature of international trade relations inhibits the emergence of some triads. Regardless of the reason, the absence of triad 7 as a motif of the aggregate energy network suggests that the network is structured more by factors not directly related to trade efficiency, such as political, cultural, or geospatial factors [49].…”

Section: Triad Significance Profile (Tsp): Motifs and Anti-motifsmentioning

confidence: 99%

Triad Analysis of Global Energy Trade Networks and Implications for Energy Trade Stability

2022

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An international push to decarbonize economies has initiated a major transition in the global energy system and has begun to disrupt the intricate network of energy trade. As trade patterns begin to reconfigure, it is important that policy makers understand how vulnerabilities of the existing network may present obstacles to a smooth energy transition. We analyze the topology of the global energy trade network in aggregate, for various energy commodities, and for individual countries. Using the network science technique of triad analysis, which examines the prevalence of 3-node subnetworks in a target network, we calculate triad significance profiles for each network. We then analyze whether various triads are under- or over-represented in our networks and find that triads associated with stability appear more frequently than expected, whereas triads associated with conflict appear less frequently than expected. We further find that the global energy trade network is quite robust against disruptions, maintaining its topological characteristics even after random removal of 80% of the network’s nodes. However, when analyzing individual countries, we find that some exhibit a high prevalence of unstable triads or a low prevalence of stabilizing triads, suggesting that vulnerabilities in global energy trade are more pronounced in some countries than others.

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“…Sea and land corridors are often crowded with busy traders, while air travel is typically used for the exchange of weapons or other military defense equipment, logistical support during wartime emergencies, unpredictable natural disasters, and urgent or top-secret scientific advancements. Cooperation agreements between parties involved in legal, economic, geopolitical, cultural, and social elements are also inseparable from trade conflicts (Whitten et al, 2020).…”

Section: Introductionmentioning

confidence: 99%

Sustaining Agricultural Growth: Traps of Socio–Demographics in Emerging Markets

Jiuhardi¹,

Hasid²,

Darma³

et al. 2022

OCS

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This research aims to evaluate the effect of the global innovation index (GII), urban population (UP), rural population (RP), social globalization index (SGI), and Demographic Pressures (DP) on agriculture value added (AVA). The samples were collected from The Global Economy relating to four countries, namely, China, Indonesia, USA, and India during 2013-2020. The collected data were analyzed through comparative panel regression. The results show that, in the long term, the increase in UP is significantly correlated with AVA in China, Indonesia, and India. Then, an increase in RP is significantly associated with AVA in India, and SGI exerts a significant effect on AVA in the USA. In the short term, every increase in GII has a significant effect on AVA in Indonesia and the USA. Furthermore, RP has a significant impact on AVA in China. A case study in India, reported that a decrease in SGI and DP significantly affect AVA. Meanwhile, the short-term DP growth greatly influences the AVA in the USA. The novelty of this research lies in the finding that the agricultural sector's tendency expands our knowledge of how many agricultural clusters in rural communities change their functions as a large number of rural residents relocate to metropolitan areas. Further, the debate over the HR industry's level of competition does not create job possibilities. In China, Indonesia, and the USA, DP enhances AVA. Stakeholders are required to reduce housing density through innovative agriculture concepts that are more humanistic and creative, even though DP only suppresses AVA in India.

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Do political relations affect international trade? Evidence from China’s twelve trading partners

Cited by 20 publications

References 30 publications

How does the belt and road initiative promote China's import?

How does the belt and road initiative promote China's import?

Triad Analysis of Global Energy Trade Networks and Implications for Energy Trade Stability

Sustaining Agricultural Growth: Traps of Socio–Demographics in Emerging Markets

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