Is Processing Good?: Theory and Evidence from China

When: Monday, March 4, 2019 4:00 PM - 6:00 PM

Where: 341 Eggers Hall


Authors: Loren Brandt, Bingjing Li and Peter Morrow

This paper studies the welfare effects of policies encouraging processing exports, using Chinese data for 109 industries for 2000-2007. Counterfactual policy experiments imply large welfare losses (3-7%) to Chinese agents from not being allowed to buy processing output on the domestic market. There are smaller welfare effects (< 1%)="" from="" the="" duty="" free="" status="" of="" processing="" />

Peter Morrow is Associate Professor of Economics at the University of Toronto. He specializes in international trade. Most of his research is on the structure and patterns of international trade. His work has been published in top general-interest and field journals in Economics such as the Review of Economic Studies, the Journal of International Economics and the Journal of Development Economics. Professor Morrow holds a PhD in Economics from the University of Michigan.

For more information, contact Devashish Mitra,
Sponsored by: Moynihan Institute of Global Affairs 

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