Economics Commons^™

Essays On Foreign Direct Investment, Agglomeration And Productivity, Fariha Kamal

Economics - Dissertations

This dissertation investigates the role of foreign direct investment and agglomeration economies in the process of industrial development, with a focus on the productivity of manufacturing firms. The first chapter analyzes the importance of the source of foreign direct investment on the performance of domestic Chinese firms. The second chapter studies the interaction between foreign and domestic manufacturing firms operating in the same industry and located within the same Chinese city. The third chapter examines the response of multinational companies to changes in domestic institutions. My findings highlight the importance of the source of foreign direct investment, proximity to economic …

China And The United States' Recovery From The Global Financial Crisis, Yufei Wang

Electronic Theses and Dissertations

Faced with the global financial crisis, which has a large impact on the world's economy, China and the United Stated took different actions to pull the economy out of it, based on the fairly different financial, fiscal, and even political systems they have. This thesis focuses on the comparison of the financial and fiscal systems and trade structures between the two different countries, and how these have impact on their stimulus packages, thus influencing the economic recovery as a whole.

The Gift That Keeps Giving: Fdi Inflows In China, Joseph Chang

CMC Senior Theses

This paper investigates the primacy of foreign direct investment inflows in liberalizing China’s economy and whether the long-term gains from economic openness will justify its inefficient energy uses and growing regional income disparities. By examining the history of FDI inflows in China, it becomes evident that FDI inflows were an instrumental part in institutional and technological development in China. I extend the argument to take into account how these developed infrastructures react to China’s growing energy demand in light of a shrinking world supply. Lastly, I perform a meta-analysis on the Environmental Kuznets Curve theory and the Pollution Haven Hypothesis, …

Ceo's Pay Differentials And The Location Of Ipos : An Empirical Study For Chinese A-Share And H-Share Companies, Yi Liu

Lingnan Theses

This thesis provides an empirical investigation on how different public listing locations affect the CEO (chief executive officer)’s pay of Chinese SOEs (State Owned Enterprises) and whether such a pay differential would in turn affect the listing location choice by those firms, which have not received much attention in the current literature. In particular, we focus on two stock markets, the mainland (including Shenzhen and Shanghai) A-share market and Hong Kong H-share market. Unlike what have been found in many other markets, where firms listed in the foreign markets can normally enjoy a price premium, Chinese firms listed in the …

Rmb Exchange Rate Reform And Cross Listed Stock Price Disparity, Yuqian Rong

Lingnan Theses

A growing number of Chinese corporations have been listing their shares on foreign stock markets. Hong Kong Stock Exchange (HKEX) and New York Stock Exchange (NYSE) are their major targets. Taking China’s exchange rate system reform as a unique event, I examine the price disparity between A-share and H-share (or ADR) using a sample of 28 Chinese companies listed in Shenzhen, Shanghai, Hong Kong, and New York. I conduct a panel-data investigation to examine the price disparity before and after the transition from the pegged to the managed floating exchange rate.

I have obtained several important findings in this study. …

The Driving Forces Behind The Recent Housing Market Development In Hong Kong : Fundamentals? Bubbles? Policy?, Ki Chiu Lo

Lingnan Theses

By examining the driving forces behind the recent housing market development in Hong Kong, this thesis offers an explanation for the effects of the ―Capital Investment Entrant Scheme‖ and the movements in the exchange rate between HKD and RMB on the housing prices of the overall market and two sub-markets. Induced by record-low mortgage rates and decreasing amount of new dwelling units completion, housing prices in Hong Kong surged to a record high level recently. To test the equilibrium price of housing, cointegration tests will be used to identify whether there is overvaluation in recent property market. At the end …

Economic Transition, Higher Education And Worker Productivity In China, Belton Fleisher, Yifan Yu, Haizheng Li, Seonghoon Kim

Research Collection School Of Economics

We investigate the role of education on worker productivity and firms' total factor productivity using a panel of firm-level data from China. We estimate the returns to education by calculating the marginal productivity of workers of different education levels based on estimates of the firm-level production function. We also estimate how the education level of workers and CEO contributes to firms' total factor productivity. Estimated marginal products are much higher than wages, and the gap is larger for highly educated workers. Our estimate shows that an additional year of schooling raises marginal product by 30.1%, and that CEO's education increases …

Women In China, Between Confucius And The Market, Tonia Warnecke, Alain Blanchard

Faculty Publications

No abstract provided.

A Spatial Analysis Of Aggregate And Industry-Level Fdi In China, Shalendra Sharma, Miao Grace Wang, M. C. Sunny Wong

Economics Faculty Research and Publications

No abstract provided.

Shaping Economic Practices In China’S Post-Command Economy Period: The Interaction Of Politics, Economics And Institutional Constraints, Tonia Warnecke, Alain Blanchard

Student-Faculty Collaborative Research Publications

Although much has been published on China's economic transition, less research has focused on how Chinese culture and the Communist political system have interacted to shape the new Chinese economy. In this paper, we argue that China's post-command economy period reflects not only the 'new' infusion of neo-liberal ideology into the country, but also the consistent filtering of economic practices through a historical and complex institutional arrangement of cultural and political norms. The tensions between neo-classical free market principles and the overarching authority of the Communist state explain the variety of institutional constraints on actual economic practices in China. While …

Tao Of Downfall: The Failures Of High-Profile Entrepreneurs In The Chinese Economic Reform, Wenxian Zhang, Ilan Alon

Faculty Publications

Through historical reviews and case studies, this research seeks to understand why some initially successful entrepreneurs failed in the economic boom of past decades. Among various factors contributed to their downfalls are a unique political and business environment, fragile financial systems, traditional cultural influences and personal characteristics. Notwithstanding that these factors should be further tested through empirical studies, those high-profile entrepreneurs are oblivious but essential actors in the grand theatre of China's economic transformation and their failures have contributed to the swift development of the Chinese entrepreneurship over the last 30 years.

The Relationship Between Economic Freedom And Economic Growth: The Transistion Process In Vietnam And China, Hanh T. Vu

Mahurin Honors College Capstone Experience/Thesis Projects

The relationship between economic freedom and economic growth has always been frequently discussed in the economic literature. Economic freedom is often believed to enhance economic growth, which in turn creates more economic freedom. The first part of this paper studies the transition process in China and Vietnam from a planned economy to a free market economy. The transition process, which takes place over the period of more than two decades, allowing more economic freedom, and implementing some elements of a free market, has boosted the growth rate in both China and Vietnam, and increased considerably the standard of living of …

The Role Of Guanxi Network In The Corruption-Efficiency Relationship, Shaomin Li

Management Faculty Publications

Why do some countries like China thrive economically despite of corruption? The effect of corruption on economic efficiency is moderated by whether a society has an extensive informal social network such as the guanxi network in China. In societies with a thick, extensive informal social network, bribery- corruption relationship can be easily established and the risk of being reported is low. This relation-based trust makes the dissemination of corruption goods--the sale of government goods for private gains--more market-based. The competition among potential bribers increases the efficiency of corruption (or making corruption less wasteful). In societies that lack such strong informal …

China And Brazil: Potential Allies Or Just Brics In The Wall?, Anthony Petros Spanakos

Department of Political Science and Law Faculty Scholarship and Creative Works

Brazil is an increasingly important actor in global governance and for China specifically. Sino-Brazilian relations have deepened considerably but they remain concentrated in areas of trade and investment. There is also considerable overlap in interests between the two countries in other areas, such as diplomatic and political relations. At the same time, China must manage carefully important differences that exist over the enlargement of the UN and the potential challenge to the Brazilian industry.

Transmitted Unemployment And Exchange Rate Effect On Labor Market, Youqing Zhou

Lingnan Theses

This thesis examines the link between exchange rate and unemployment. The unemployment problem in an open economy has mostly been discussed at the micro level. Previous studies focus on job losses from trade by the manufacturing industries. However, the macro level relationship between exchange rate and unemployment has been largely ignored. The aims of this study are twofold. Firstly, a simple theoretical relationship between exchange rate and unemployment is established by the PPP and Phillips curve. The model shows that, under the linked exchange rate system, the unemployment in currency-linked country is a function of the unemployment in the base …

Three Essays On Housing Market In Hong Kong : Implications For Public Policy And Macro Economy, Wai Chung, Gary Wong

Lingnan Theses

The thesis contains three papers on different areas of housing study in Hong Kong. The first paper focuses on government policy in public housing privatization on housing market and its effect on the overall economy. By comparing the negative impacts of two financial crises in 1997 and 2008 on housing market, the paper tries to offer explanation for the property downturn during 1997-2003. It aims to study how a public housing privatization program would produce adverse effects on housing transactions and the economy. The second one links up the housing market and macro economy. It is found that housing sector …

The Boycott Model Of Foreign Product Purchase: An Empirical Test In China, Malcolm Smith, Qianpin Li

Research outputs pre 2011

The primary purpose of this paper is to investigate and ascertain the effects of integrative motivation on the willingness to participate in boycott activities. This paper uses a mail survey to examine the relationships among six constructs in a boycotting issue context, in order to explore Chinese consumers’ willingness to boycott against Japanese products or services with the fallout from a Japanese former PM’s continuous visits to a controversial war shrine since 2001. The findings suggest that there are significant and positive pairwise relationships between boycott participation and three factors (i.e. animosity, efficacy, and prior purchase). High animosity towards Japanese …

China’S Exports And The Oil Price, João Ricardo Faria, Andre V. Mollick, Pedro H. Albuquerque, Miguel A. Leon-Ledesma

School of Economics and Finance Faculty Publications

The increase in oil prices in recent years has occurred concurrently with a rapid expansion of Chinese exports in the world markets, despite China being an oil importing country. In this paper we develop a theoretical model that explains the positive correlation between Chinese exports and the oil price. The model shows that Chinese growth can lead to an increase in oil prices that has a stronger impact on its export competitors. This is due to the large labor force surplus of China. We then examine this hypothesis by estimating a reduced form equation for Chinese exports using Rodrik (2006)’s …

Why Economic Performance Has Differed Between Brazil And China? A Comparative Analysis Of Brazilian And Chinese Macroeconomic Policy, Fernando Ferrari-Filho, Anthony Petros Spanakos

Department of Political Science and Law Faculty Scholarship and Creative Works

This paper addresses a specific question: why has China grown so rapidly and Brazil not? To answer this question, it (i) establishes the basis for comparison between China and Brazil by contextualizing these countries within the BRICs concept, and (ii) presents a comparative analysis of Brazilian and Chinese reforms focusing only on the issue of macroeconomic policy, especially the monetary and exchange rate regimes, and its effect on growth.

Chinese Women And Economic Human Rights, Lisa Fry

Human Rights & Human Welfare

Women’s human rights in China have an intriguing history and a challenging present. In ancient China, Confucianism espoused the virtues of silent women who stayed at home. During the Maoist period, on the other hand, gender equality was prioritized by the state, and women were equally appointed to leadership positions and agricultural collectives with men. After Mao’s death, the country transitioned to a social market economic system that resulted in a loss of state support for gender equity. Today, the rights of women in China are not clearly defined, protected, or promoted. China’s patriarchal traditions have reasserted themselves, obstructing women’s …

Population Growth And Planned Birth Policy, Yigang Zhang

All Dissertations

China's planned birth policy is based on 'population pessimism', which states population growth affects the income level negatively, though the role of population growth in cross-country growth regressions is ambiguous. There are 'population pessimism', 'population optimism', and 'population neutralism'. Also, a new concept 'demographic dividend' was raised in recent years, which states a rise in the rate of economic growth can be induced because of a rising share of working age people in a population while still holding 'population neutralism'. The planned birth policy results in a decreasing fertility rate, which slows down the population growth and changes the age …

The Rise Of Agrarian Capitalism With Chinese Characteristics: Agricultural Modernization, Agribusiness And Collective Land Rights, Qian Forrest Zhang, John A. Donaldson

Research Collection School of Social Sciences

The article discusses the agricultural transformation taking place in the rural areas of China. Details about the Chinese laws regarding rural reform and the effect they have had on rural Chinese farmers and families are included. The authors examine the expansion of agrarian capitalism in China and describe the rise of agribusiness in rural Chinese areas. The practices of Chinese agribusinesses and the Chinese land rights laws are explored. The relationships between individual farmers and agribusinesses is also examined.

Why Brazil Has Not Grown: A Comparative Analysis Of Brazilian, Indian, And Chinese Economic Management, Fernando Ferrari-Filho, Anthony Petros Spanakos

Department of Political Science and Law Faculty Scholarship and Creative Works

This paper does not aim to dispute that Brazil would benefit from reforms in any or all of these areas. Rather, the paper offers a skeptical perspective on reform menus and proposes an alternative explanation for the faster growth of Brazil’s peers India and China2. The paper begins by introducing (section 1) the idea of the BRICs countries, to establish the basis for comparisons of most similar cases. It then surveys the results of a generation of Washington Consensus era growth (section 2). Although there is a considerable amount of divergence over what causes growth, it seems that something approaching …

Cultural Advantages In China: Tale Of Six Cities, Florentin Smarandache, Fu Yuhua, Victor Christianto

Branch Mathematics and Statistics Faculty and Staff Publications

Nowadays, plenty of factories from Europe and other developed countries have been relocated to this country, considering its tremendous economic scale and rapid growth rate during the past three decades. But most of what happens inside the China nowadays is deeply hidden from the outside world (“the foreigners” as China people would call). This fact is partly because most reports on China were written by the so‐called fly‐high experts who are busy completing their reports despite a busy schedule. Very few books or reports were written by people inside, or at least “foreigners” who spent a few years in China. …

Forecasting The Car Penetration Rate (Cpr) In China: A Nonparametric Approach, Sainan Jin, Liangjun Su

Research Collection School Of Economics

With strong economic growth, the auto industry has made great breakthroughs in recent years and has become a backbone industry in China, while cars play an increasingly important role, and are now the principal part of the auto industry. Both China's government and academic circles take strong interest in the prediction of CPR (i.e. car penetration rate or cars per thousand people), which will be the main guidance for the future industry policy. We summarize the existing problems in recent research and propose to use nonparametric methods to estimate the CPR and its elasticity with respect to GDP per capita …

Oil. China And Oil In The Asian Pacific Region: Rising Demand For Oil, Pablo Bustelo

New England Journal of Public Policy

China’s growing demand for oil is significantly changing the international geopolitics of energy, especially in the Asian Pacific region. The recent growth in oil consumption, combined with forecasts of increased oil imports (especially from the Middle East), have led to deep concern among Chinese leaders regarding their country’s energy security. They are responding in a number of different ways. In particular, they are searching for new sources of supply and seeking to control purchases and transport lanes, while boosting national production at any cost. This is already causing tension with the United States and other big oil consumers, such as …

Fueling The Superpowers: Potential Hazard For U.S.-China Relations, Travis Tanner

New England Journal of Public Policy

This article by Travis Tanner is taken from the proceedings of the EPIIC Symposium at Tufts University, February 2005

Business Output And Business Experience: Evidence From China's Nongovernmental Businesses, Liangjun Su

Research Collection School Of Economics

We study the application of the Solow growth model in China's non-governmental businesses and propose a reasonable modification for it. Our analysis indicates that business experience is closely tied to the output of China's non-governmental businesses. Our major findings include: (1) the business experience has little overall impact on the elasticity of output with respect to labour; (2) the business experience has a large impact on the elasticity of output with respect to capital and the elasticity increases as the business experience increases; (3) the adjusted Solow residual that reflects technological progress exhibits a negative relationship with the business experience, …

Two Essays On Lead-Lag Patterns Between Trading Volume And Stock Return In China Stock Markets, Xiaotian Zhu

Theses and Dissertations in Business Administration

This dissertation systematically investigate the lead-lag relations between the trading volume and stock return patterns in China A share and B share markets through two streams of behavioral postulations. In the first part, we summarize all the potential lead-lag patterns between trading volume and stock returns and link them to the corresponding behavioral explanations. In particular, Lee and Swaminathan's (2000) Momentum Life Cycle theory best explains the strong negative relations between lagged trading volume and subsequent return in China A share market. The strong positive relations between lagged market return and subsequent trading volume found in both China's B share …

China-Australia Free Trade Agreement New Icing On An Old Cake-An Opportunity For Fair Trade?, Benedict Sheehy, Jackson N. Maogoto

ExpressO

The on-going challenge in economic development and globalization, particularly for developing countries, is the issue of development and equality in society. The issue becomes particularly problematic when confronted in matters of international trade. Often misnamed anti-globalization activists and pro-globalization activists fail to take note of the underlying assumptions that lead them to conflict—namely, the actual costs and benefits to society that result from their particular positions. In essence, both activists are searching for ways to improve the lives of people in the domestic context and to minimize the damage to their society and environment. China’s impressive economic record is threatened …