Replication data for: Trade Liberalization and Markup Dispersion: Evidence from China's WTO Accession

Principal Investigator(s): View help for Principal Investigator(s) Yi Lu; Linhui Yu

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Project Citation:

Lu, Yi, and Yu, Linhui. Replication data for: Trade Liberalization and Markup Dispersion: Evidence from China’s WTO Accession. Nashville, TN: American Economic Association [publisher], 2015. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E113616V1

Project Description

Summary: In this paper, we empirically investigate whether trade liberalization affects markup dispersion, a potential source of resource misallocation. The identification uses China's WTO accession at the end of 2001. We show that trade liberalization reduces markup dispersion within a narrowly defined industry. We also examine both price and cost responses to trade liberalization, as well as heterogeneous effects across firms and across locations. Our study contributes to the literature by identifying another potential channel through which free trade benefits a nation. (JEL F13, L11, O14, O19, P23, P31, P33)

Scope of Project

JEL Classification:
      F13 Trade Policy; International Trade Organizations
      L11 Production, Pricing, and Market Structure; Size Distribution of Firms
      O14 Industrialization; Manufacturing and Service Industries; Choice of Technology
      O19 International Linkages to Development; Role of International Organizations
      P23 Socialist Systems and Transitional Economies: Factor and Product Markets; Industry Studies; Population
      P31 Socialist Enterprises and Their Transitions
      P33 Socialist Institutions and Their Transitions: International Trade, Finance, Investment, Relations, and Aid

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Published Versions

V1 [2019-10-12]

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DDI 2.5

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