The Impact of External Demand Shocks on Economic Disparity among Regions in China
Regional economic disparities have long been one of the prominent issues facing China's economy.Drawing on BACI-CEPII bilateral trade data and city statistical yearbook data from 2000 to 2014,this study examines the impact of external de-mand shocks on economic disparity among regions in China and explores underlying mechanisms.Our findings indicate that the ex-pansion of external demand significantly widens regional economic disparities,a result robust to endogeneity treatment and various robustness tests.Specifically,external demand expansion amplifies the scale of regional leading industries and the intensity of linked industries,exacerbating regional economic disparities.However,it also promotes industrial transfer between cities,which mitigates the widening effect of external demand expansion on regional economic disparities.Furthermore,external demand expansion primari-ly accentuates economic disparities between cities in the eastern and southern regions and the national average,while reducing dis-parities between cities in the western regions and the national average,with no significant impact on disparities between cities in the central and northern regions.These findings offer policy insights for promoting harmonious regional development within the new"dual circulation"development pattern.
external demand shockseconomic disparityleading industrylinked industryindustrial transfer
万方数据
维普
