Presidential Marketing: Trade Promotion Effects of State Visits. Issue 3 (2nd July 2020)

• Record Type: Journal Article
• Authors: Beaulieu, Eugene; Lian, Zeng; Wan, Shan
• Is Part Of: Global economic review. Volume 49:Issue 3(2020)
• Page Start: 309
• Page End: 327
• Publication Date: 2020-07-02
• Subjects: Trade -- state visit -- China -- instrument variable; C26 -- F14 -- F5; International economic relations -- Periodicals; Economic history -- 1990- -- Periodicals; East and West -- Periodicals; 337.05
• DOI: 10.1080/1226508X.2020.1792329
• Languages: English
• ISSNs: 1226-508X

Abstract

ABSTRACT: This paper studies the trade promotion effects of state visits paid by Chinese political leaders by analyzing China's trade flow with 184 countries between 1998 and 2014. International events are used to instrument state visits. The results find that trade promotion effects come two years after the visits. Moreover, the promotion effects are biased towards the industries and firms with connections to the government. Trade barriers offset the promotion effects of state visits.