Working Paper: CEPR ID: DP8544
Authors: Raphael Auer; Andreas M. Fischer; Andreas Kropf
Abstract: What is the impact of Chinese import competition on Nordic producer prices? In a panel covering 23 (2 digit) NACE manufacturing sectors from 1995 to 2008, instrumental variable estimations predict that when Chinese imports capture a 1% increase in market share, Nordic producer prices decrease by about 2.0%. This China effect entails a drop of 14% in producer prices for the analyzed period.
Keywords: Comparative Advantage; Globalization; Intraindustry Trade
JEL Codes: F11; F12; F14; F16; F40
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Chinese market share increase (F61) | Nordic producer prices (L79) |
| Chinese manufacturing output increase (L60) | Chinese market share increase (F61) |