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The Mechanism And Effect Of The Influence Of International Humanistic Relation Network On International Trade Network

Posted on:2015-02-26Degree:DoctorType:Dissertation
Country:ChinaCandidate:G WuFull Text:PDF
GTID:1269330425486903Subject:Applied Economics
Abstract/Summary:
Culture and economy are considered to be two most influential powers in this globalized world. Countries and regions around the world have forged a complex economic network by means of trade. Meanwhile, international economic activities are intertwined with complex networks formed by such cultural relationships as language, religion, and colonization, as well as institutions such as regional trade agreements and common currency arrangements. Therefore, it is necessary for us to reexamine the international economic system by means of newly developed network analysis method, and shed new light on the structure and dynamics of the international economic network from the viewpoint of economic and social relationship.In light of this, this paper studied intensively the mechanism and effect of the influence of international humanistic relation network on international trade network, based on a thorough literature review. Integrating complex network analysis and social network analysis method, this paper follows the big data analytical approach of "data quality assessment-data effectiveness processing-data visualization-data mining-data analysis", incorporating such theories as the international division of labor theory developed in the framework of Yang Xiaokai’s new classical economics, relationship embedding theory and information cascading theory in sociology, as well as graph theory and network game theory in network science. It also took advantage of the estimation, diagnosis and simulation methods for the exponential random graph model. By doing these, the paper tried to answer the following questions, as listed below. How to effectively construct and illustrate the international trade network and international humanistic relation network quantitatively? What are the fundamental structures and development status of the international trade network and humanistic relation network? How does the international humanistic relation network influence the establishment and development of the international trade network, and how the structure of the international trade network should emerge as a result of such influence? Is it possible for the international trade relation embedded onto the international humanistic relation network to upgrade into a trade relationship with high grade flow, ranking, preference or ranking? Will a high status of a country (or region) in the international humanistic relation network improve its status and influence in the international trade network? This paper analyzed the integrity and effectiveness of current data in international bilateral trade and humanistic relation, established and illustrated quantitatively the international trade network and international humanistic relation network between1962and2010, expanded the dimension and graded the international trade network. Research found out that network solely based on international trade flow is insufficient for illustrating the trade relations between countries and regions. Therefore it is necessary to expand it into the international trade ratio network and preference network, and grade them in accordance to numerical value, weight and ranking respectively, thereby analyze the structure and dynamics of the international trade network in a new framework. Study on the structural characteristics and dynamics of the international trade network and international humanistic relation network found out, that the complete network of international trade is becoming very dense. On one hand, linking of countries and regions in the network is becoming more and more homogeneous. On the other hand, heterogeneity is constantly increasing with regards to the intensity of out-degree, in-degree and all trade relations in the network. Significant disparities exist in the evolutionary characteristics in international trade networks with different rankings and residing in different magnitude. In particular, ratio networks, preference networks and ranking networks of highest ranking exhibit special structural and organizational characteristics. The international humanistic relation network, on the other hand, is densest with regards to common religion network and linguistic relation network, with low disparities in node degrees. Other humanistic relation networks relatively sparse, but large disparities exist in node profiles in the network. Furthermore, international humanistic relation networks are commonly emerged as several discrete social groups, but RTA relation network is being integrated into a large component.The paper improved and developed the international trade network model under Yang Xiaokai’s new classical framework and devised a new theoretical framework to provide new explanations to the establishment and development of international trade network making use of the theory of international labor division and humanistic trade network. It further demonstrated the structural characteristics of the international trade network brought about by the international humanistic relation network based on transaction cost effect and information cascading effect. The study showed that feasible model of labor division between countries shall determine the feasible structure of the international trade network, while the influence and limitation of the international humanistic relation network on trade relations shall ultimately determine the optimal mode selection in the feasible set of the international trade network. The international humanistic relation network influence the selection of trading partners by means of transaction cost. As a result, international trade networks with higher ranking express themselves as two or more components. Countries (or regions) with stronger and broader humanistic relations can more easily possess and control more trade relations in the international trade network, given sufficient strong specialized production capacity. Mutually beneficial bilateral trade relationship is more easily developed when strong humanistic relations exist among countries with complementary mode of labor division. If information cascading effects exist when countries are selecting trading partners in the international trade network, top tiered relation networks of international export and import trade shall have tree like structural features without loops. Furthermore, countries with stronger humanistic relations are more likely to be around some country in the center.Finally, making use of Exponential Random Graph Model (ERGM), this paper empirically test the influence of self organizational behaviors like endogenous network mutual benefit, actor attribute effects and humanistic relation network on the establishment of the structure of international trade network, putting them in a unified framework, in order to study the influence of international humanistic trade network on international trade networks with different magnitudes, different rankings and different years. The results showed that, in addition to being embedded in various humanistic relation networks and geographically adjacent networks, status of countries and regions in humanistic relation networks and geographically adjacent networks as well as factors like economic strength, population size, etc, can exert influence on the status of countries and regions in the trade network. In this way the complete network of international trade is featured by obvious "core-periphery-semi periphery" structure. International trade flow network with higher rankings are mainly created by the conglomeration of countries and regions with large economies and population size, trade relation of which is featured by pretty strong inertia of joint development. The effect of this inertia is even more apparent if embedded in international humanistic trade network.This paper also did the empirical test regarding the effect of international humanistic relation network on international trade networks of various magnitudes and higher ranking. The result showed that export and import ratio networks, preference networks and ranking networks of higher rankings in successive years display multiple out star and in star structures. Preference networks of high rankings are more inclined to be independent and less inclined to display hierarchical relationships, in contrast to top tiered export and import relation networks, which display tree like structures without loops. In high ranking, preference and ranking networks countries and regions demonstrate significant information cascading effect, and in export and import preference networks, obvious "special preference" effect can be discovered. Controlling fore variables including economic strength, population size and territorial area, relatively high status of a country or region in the international humanistic relation network can indeed be conducive to the status and influence of that country or region in the international trade network. International trade relations embedded onto the international humanistic relation network can indeed be developed into trade relations with higher ratio, preference and ranking. In addition, these trade relation networks with higher rankings are more and more dependent on establishing themselves onto various international humanistic relation networks, splitting them into more cultural and regional branches.
Keywords/Search Tags:International Trade Network, Humanistic Relation Network, NetworkGrading, Transaction Costs, Information Cascades Effect, Exponential Random Graph Models
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