The Ternary Marginal Extension of China’s Free Trade Zone Development

Wang Fangfang(National Economics Research Center, Guangdong University of Finance and Economics, Guangzhou, Guangdong)
Liu Yanru(National Economics Research Center, Guangdong University of Finance and Economics, Guangzhou, Guangdong)
Liu Juan(National Economics Research Center, Guangdong University of Finance and Economics, Guangzhou, Guangdong)

Abstract

This paper attempts to establish a framework of upgrading mechanism in China’s foreign economic opening strategy in order to conclude the new connotation of upgrade for China’s foreign economic opening, with the basic starting point of ternary marginal extension on extensive growth, in the perspective of corporate heterogeneity theory. It also involves the new path of the transformation from “quantity” to “quality” regarding the amounts, models and locations of China’s foreign trade and investment. At last, this theoretical frame is complemented upon a case study of free trade zone and regional cooperation of Guangdong, Hong Kong and Macao.

Keywords

Free Trade Zone; Integration of Trade and Investment; Ternary Margin

References

Changhong Pei. A New Round of Open Scale of the View of Global Governance: from the Perspective of Shanghai Free Trade Zone[J]. Revolution, 2013(12):30-40. (in Chinese)

Bernard, A. B, Jensen, J.B, Redding, S.J. and Schott, P.K., (2010) “Wholesalers and Retailers in U.S. Trade”, American Economic Review, 100(2): 408-413.

Blum, B. S.; Horstmann, I. and Claro, S., (2010) “Facts and Figures on Intermediated Trade”, American Economic Review, 100(2):419-423.

Ahn, J., Khandelwal, A. K. and Wei, S. J., (2011) “The Role of Intermediaries in Facilitating Trade”,Journal of International Economics,84(1):73-85.

Ekholm, K., Forslid, R. and Markusen, J.R.,“Export-Platform Foreign Direct Investment”,Journal of the European Economic Association, 5(4):776-795.

Hanson, G., Mataloni, R. J. and Slaughter, M., (2001) “Expansion Strategies of U.S. Multinational Firms”, In Rodrik D. and Collins S. eds., Brookings Trade Forum. Washington, DC: Brookings Institution Press, 457-510.

Blonigen, B. A., Davies, R. B., Waddell, G. R. and Naughton, H. T., (2007) “FDI in Space: Spatial Autoregressive Lags in Foreign Direct Investment”, European Economic Review, 51(5): 1303-1325.

Jie Xie， Renyu Liu. Influence Factors of China’s Outward Direct Investment and Its Trade Effect: a Spatial Econometric Perspective[J]. Journal of International Trade, 2011(6): 66-74. (in Chinese)

Head, K. and Ries, J., (2001) “Overseas Investment and Firm Exports”, Review of International Economics, 9(1): 108-122.

Krautheim S., (2009) “Export-Supporting FDI”,Deutsche Bundesbank Discussion Paper Series 1: Economic Studies, 20: 132-158.

Kleinert, J. and Toubal, F., (2010) “Production versus Distribution-oriented FDI”, Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) No. hal-00608510, .35-57.

Fangang Wang. Location Choice of China’s Outward Foreign Direct Investment under Firm Heterogeneity[D].Jinan University Doctoral paper, 2012. (in Chinese)

Fangfang Wang, Tao Fu. The Construction of Incentive System of China’s Outward Foreign Direct Investment—Ternary Marginal Extension under Firm Heterogeneity[J]. Inquiry into Economic Issues，2013(5):45-51. (in Chinese)

Yuanxi Sun, JI Li, ZHOU Renyuan.Negative List (2013) in China (Shanghai) Pilot Free Trade Zone and Its Improvement[J]. Foreign Economics & Management，2014(3):74-80. (in Chinese)

Jiaxiang Hu. A Preliminary Study of Pre-Access National Treatment—Also On the Negative List of Shanghai Free Trade Zone [J]. Journal of Shanghai Jiaotong University(Philosophy and Social Sciences)，2014(1):65-73. (in Chinese)

Free Trade Research Institution, Shanghai Finance University, Shanghai Development Institution.Development Research Report2014 of China (Shanghai) Pilot Free Trade Zone [R].Shanghai Finance University Publishing House，2013. (in Chinese)

Xiaohua Bao, Xiaohua Chen, Lei Gao. International Comparison of Services Trade Development and Its Enlightenment to China[J]. Foreign Economics & Management，2013(12): 70-79. (in Chinese)

Gangling Chao, Tao Wang. Pilot Free Trade Zone and Platform Economic City[J].Foreign Economics & Management，2013(12): 60-69. (in Chinese)

Jianping Ding, Xiaoju Zhao. Theoretical Design of Financial Opening and Reform in Shanghai Free Trade Zone—From the Perspective of Asymmetry of Factor Movement[J].Academic Monthly，2014(1): 29-37. (in Chinese)

Youwen Zhang. Free Trade Pilot Zone Experiment and Construction of Opening Economic System[J]. Academic Monthly，2014(1): 11-19. (in Chinese)

DOI: http://dx.doi.org/10.26549/jfr.v2i2.791