Based on gravity trade model and Linder Hypothesis: An Empirical Application to China-EU Trade Flows
This paper applies the gravity trade model, as well as Linder Hypothesis, to assess ChinaEU trade. The model is tested for a sample of 25countrypairs and 250 observations. A panel data analysis is used to disentangle the time invariant countryspecific effects and to capture the relationships between the relevant variables over time. We find that both gravity trade model and Linder Hypothesis hold quite well in the empirical work in this paper. What’s more, the inherent policy implication for China is to strive to narrow the income gap between him and other trade partners in order to take full advantage of the benefits of trade.
Gravitymodel LinderHypothesis China-EUtrade
Zhou Jian
Jiangxi Vocational College of Finance and Economics Jiujiang, Jiangxi
国际会议
广州
英文
1-5
2011-05-13（万方平台首次上网日期，不代表论文的发表时间）