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Ethnic Chinese Networks in International Trade
Abstract
We find that ethnic Chinese networks, proxied by the product of ethnic Chinese population shares, increased bilateral trade more for differentiated than for homogeneous products. This suggests that business and social networks have a considerable quantitative impact on international trade by helping to match buyers and sellers in characteristics space, in addition to their effect through enforcement of community sanctions that deter opportunistic behavior. For trade between countries with ethnic Chinese population shares at the levels prevailing in Southeast Asia, the smallest estimated average increase in bilateral trade in differentiated products attributable to ethnic Chinese networks is nearly 60%.
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Cites
Regional trading blocs in the world economic system
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Immigrants and Associations: Chinese in nineteenth-century Singapore
Freedman, M. (1960) · Comparative Studies in Society and History · doi:10.1017/s0010417500000980 · Cited by 89
Cited by
Anderson, J. E., & van Wincoop, E. (2004) · Journal of Economic Literature · doi:10.1257/0022051042177649 · Cited by 2,524
Cultural Biases in Economic Exchange?*
Guiso, L., Sapienza, P., & Zingales, L. (2009) · Quarterly Journal of Economics · doi:10.1162/qjec.2009.124.3.1095 · Cited by 1,922
Gravity Equations: Workhorse,Toolkit, and Cookbook
Head, K., & Mayer, T. (2014) · Handbook of International Economics · doi:10.1016/b978-0-444-54314-1.00003-3 · Cited by 1,565
The erosion of colonial trade linkages after independence
Head, K., Mayer, T., & Ries, J. (2010) · Journal of International Economics · doi:10.1016/j.jinteco.2010.01.002 · Cited by 1,089
Globalization, Brain Drain, and Development
Docquier, F., & Rapoport, H. (2012) · Journal of Economic Literature · doi:10.1257/jel.50.3.681 · Cited by 1,083
Metadata
- Authors
- Rauch, J. E., & Trindade, V.
- Venue
- Review of Economics and Statistics
- Publisher
- MIT Press - Journals
- Published
- 2002-02
- Volume
- 84
- Issue
- 1
- Pages
- 116-130
- ISSN
- 0034-6535 (ISSN-L)
- 1530-9142
- OpenAlex
- W2890195883
- Cited by
- 1,483
- References
- 2
- FWCI
- 79.98
- Type
- journal article
- Language
- en
- Open access
- closed
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Contains information from the Semantic Scholar Academic Graph Datasets, made available under the ODC Attribution License (ODC-BY 1.0).
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