A1 - Joachim Jarreau
A1 - Sandra Poncet
TI - Export Performance and Credit Constraints in China
IS - 2010-33
T3 - Working Papers
KW - Export performance
KW - Credit constraints
KW - Financial liberalization
N2 - We investigate how the export performance of firms in China is influenced by credit constraints. Using panel data from Chinese customs for 1997-2007, we show that credit constraints restrict international trade flows and affect the sectoral composition of firms’ activity. We confirm that credit constraints provide an advantage to Foreign-owned firms and joint ventures over private domestic firms as their export performance is systematically greater in sectors with higher levels of financial vulnerability measured in a variety of ways. We however find that financial sector liberalization has partially reduced these distortions in exports over the period.
ER -