| Since the reform and opening up, China’s foreign trade has made remarkable achievements which the export trade has achieved explosive growth. However, China’s manufacturing exporting have long focused on the growth of pure volume, while ignored the upgrading of export product quality, which made the exporting enterprises frequently encountered the anti-dumping sanctions from the developed countries. At the same time, with the comparative advantage based on low labor costs and abundant natural resource are gradually disappearing, it is becoming an urgent need to accelerate the transformation of China’s foreign trade development, improve the quality of export products, and cultivate new sustainable competitive advantage. The previous scholars are mostly focusing on the measurement of product quality measure and decisive factors, a few discuss how to promote the upgrading of product quality. The dissertation is based on the technology spillover effect of imported intermediate products. The subsequent empirical analysis validated the extensive margin of imported intermediate significantly enhance the manufacturing’s export quality.Firstly, the dissertation explores the relationship between imported intermediate goods and the export quality via analyzing the models concern the vertical differences of product quality and the technology spillover effect of imported intermediate products, and gradually deduces the mechanism the binary margin of imported intermediate promote the improvement of product quality. Then, based on CEPII-BACI database, we adopt the BEC classification method to describe the status and the binary marginal characteristics of imported intermediate goods. Meanwhile, we use the method of relative quality measurement to measure the quality of Chinese manufacturing exports and international comparisons. Finally, according to the mechanism of the dual margins of imported intermediate goods influence the China’s manufacturing export quality which derived from the theoretical model of Demir(2013), we carry on the empirical test from the multinational panel and the China’s evidence, and obtain the abundant and stable empirical conclusions.The dissertation consists eight chapters, the main contents and conclusions of each chapter are as follows.Chapter One is introduction, introducing the background, research significance, research methods, technical route, structure, as well as the possible innovation and inadequacies of this paper.Chapter Two is literature review. We analyze the previous studies about theoretical research and empirical research of imported intermediate and product quality issues in international trade. For the studies of the imported intermediate products, we mainly summarize the findings of the statistical measure and technology spillovers effect of imported intermediate goods. For the studies of the product quality in international trade, we follow the developing track that from the theoretical research to the combination of theoretical models and empirical research, generalize the developing dynamic of theoretical model concerning the vertical differences in product quality from the two aspects of demand and supply, as well as the evolution of empirical research. Finally, we explore the future research directions based on the brief review of the literatures.Chapter Three is the theoretical basis. In this chapter, we mainly analyze the relevant trade theoretical models, and explore the relationship between the imported intermediates and export quality based on the theoretical model of Demir (2013), gradually deduce the mechanism between the dual margins of imported intermediate goods promote the improvement of firm’s product quality.Chapter Four is the current situation and binary marginal characteristics of imported intermediate goods. Based on using CEPII-BACI database, we adopt the BEC classification method to describe the realistic characteristics and tendency of imported intermediate goods from the importing scale, structure and the import sources imported describe, and analyze the dual marginal characteristics of intermediate goods. We have found that the import of intermediate goods is an important part of China’s importing trade, which the share of the primary intermediate goods is gradually raising. Japan, the European Union, the United States are the main the importing sources countries for the imported intermediate goods. Both intensive margin and extensive margin of imported intermediate goods are showing a growing trend.Chapter Five is the measurement of Chinese manufacturing export quality and multinational comparisons. Based on the international market price of the products, this chapter builds the relative export quality index of exporting product to measure the changes in the export quality of China’s manufacturing, comprehensive analyze the export quality of manufacturing product, further make the multinational comparisons. We have found that low-quality products occupy a large share in the total trade of China’s manufacturing. Compared with four major trading partners, we obtain that the export quality of China’s manufacturing have been at the low end for a long time. Thus, Under the new international competition and globalization trend, it fits the new export strategy of our country to upgrade the quality of export products.Chapter Six is the empirical regression based on multinational panel. In this chapter, based multinational panel data, we empirically test the correlations Between the binary margin of imported intermediate goods and manufacturing export quality. The result indicate that the extensive margin of imported intermediate goods significantly contributed to improve the quality of manufacturing exports, which verify the microscopic mechanism that we present in the theoretical basis section. Meanwhile, the influence of other factors such as per capita income, R&D investment and human capital cannot be ignored.Chapter Seven is the empirical regression based on Chinese evidence. From the industry level and the enterprise micro-level, we empirical analyze the correlation between the dual margin of imported intermediate goods and the export quality of Chinese manufacturing. The result further validate the extensive margin of imported intermediate goods can significantly promote the improvement of export quality of Chinese manufacturing, and also investigated the impact of R& D investment, capital intensity, human capital and other factors on the export quality.Chapter Eight is the findings and policy recommendations. In this chapter, we summarize the main conclusions, and put forward the relevant policy recommendations based on the result of descriptive statistics and empirical conclusions.
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