The export of Chinese state-owned enterprises:How far is it from "Competitive Neutrality"?
Read
DownLoad |
| Title | The export of Chinese state-owned enterprises:How far is it from "Competitive Neutrality"?
|
| Author | Tang Yihong and Yao Xi |
| Organization | School of International Trade and Economics, Central University of Finance and Economics;Guanghua School of Management, Peking University |
| Email | tanguibe@126.com；yaoxi_mail@163.com |
| Key Words | State-owned Enterprises; Competitive Neutrality; Fair Competition; Export |
| Abstract | The rule of "Competitive Neutrality", which aims to maintain a level playing field for both state-owned and private enterprises, has gained great attention recently in international market. This paper suggests a quantitative analytical framework to investigate whether and how Chinese exporting SOEs deviate from Competitive Neutrality, and provide empirical evidences, by employing data from Annual Enterprise Survey conducted by the National Bureau of Statistics of China. Firstly, we find that, from 2003-2007, after controlling of industry differences, the profit margin of exporting SOEs was lower than exporting non-SOEs on average. And it was mainly because of SOEs' lower Total Factor Productivity (TFP) and lower management efficiency. We secondly use jointly estimated export choice model and export volume model to investigate which unfair competitive advantages promote SOEs' export. We find that, financing facility and domestic monopoly power were two key advantages enjoyed by SOEs. They improved both SOEs' export probability and export volume. SOEs enjoyed higher production subsidies which improved their export probability. Moreover, SOEs' real tax rate was higher than non-SOEs on average. tax rate didn't promote SOEs' export. |
| Serial Number | WP1209 |
| Time | 2017-07-28 |
|