The Impact of VAT Reform on the Participation of Chinese Enterprises in the Global Value Chain:Evidence from the Reform of Business Tax to Value Added Tax
This paper takes the"replacement of business tax with value-added tax"(hereinafter referred to as VAT reform)from 2012 to 2016 as a policy shock,and uses a multi-time-point difference-in-differences method to explore the impact of the VAT reform on the degree to which Chinese enterprises are embedded in the global value chain.Theoretically,the VAT reform deepens the degree to which domestic enterprises are embedded in the global value chain by promoting the division of labor and collaboration among enterprises.Empirical research finds that after the VAT reform,the extent of enterprises'participation in the global value chain has deepened.The reliability of the difference-in-differences results is verified by the passing of the parallel trends test.Heterogeneity analysis reveals that the VAT reform has a more significant promotional effect on the participation of SMEs,enterprises in the central and western regions,and capital-intensive enterprises in the global value chain.Mechanism analysis shows that the VAT reform deepens the participation of enterprises in the global value chain by promoting enterprise specialization.The marginal contribution of this paper lies in expanding the research on the effects of the VAT reform on enterprise division of labor from the perspective of the global value chain,considering the synergistic effects of fiscal policy and industrial division of labor.
Global Value Chain ParticipationReplacing Business Tax with Value-Added TaxSpecialized Division of LaborIntermediate Goods
NETL
NSTL
万方数据
