Using a comprehensive micro dataset spanning the period 1998-2005, this paper provides a systematic investigation of the relationship between financial structure and firm growth in China, controlling for the endogeneity of the former. It finds that financial structure does matter for firm growth...

One downside effect of rapid economic growth in China has been the ever rising inter-regional inequality. Foreign direct investment (FDI) has been blamed for driving the Chinese regions apart. It is difficult to reconcile the positive effect of FDI on economic growth with its potential...

This paper analyses the role of political connections in the post-entry performance of private start-up companies in China. It documents robust evidence that political affiliation enhances firms’ survival and growth prospects, even if politically neutral start-ups enjoy faster productivity...

This paper presents a simple model of subsidies with export share requirements (ESR) in a heterogeneous firm environment. A two-country general equilibrium version of the model with a single 100% ESR is calibrated using firm-level data from the 2002 wave of the Business Environment and...

Despite both being developing countries, China and India have markedly contrasting patterns in their use and targeting of antidumping (AD) measures. We explore the factors driving AD use by these two countries, considering in turn macroeconomic, strategic and other determinants. We find more...

This paper investigates the link between inward FDI and innovation activity in China, using a very comprehensive and recent firm level database. We pay particular attention to the impact of domestic access to finance. Our results show that firms with foreign capital participation or those with...

China has accelerated and deepened bank reform since it joined the WTO in 2001. Employing a stochastic distance function, this paper investigates the technical efficiency of banks and examines the static, selection and dynamic effects of governance changes on bank efficiency in China for the...

Employing the one-step stochastic frontier analysis (SFA) approach, this paper examines bank efficiency in China, paying special attention to the ownership, selection effect and dynamic effects of governance changes on bank performance. Bank efficiency has improved over the data period...

This study compares alternative measures of the potential and actual pollution content of China’s trade using an environmental I-O methodology. Using the conventional, potential measure adopted by other researchers, we find that China ‘saves’ on local environmental resources by exporting...

This paper explores whether there is sufficient lumpiness or heterogeneity in the relative endowments (capital, labour and skills) of the regions of China to affect China’s specialization and trade patterns. It does so using both the lens condition to identify the violation of factor price...