Research On The Impact And Mechanism Of Factor Price Distortions On China's Commodity Export

Since the birth of International Trade Theories,the Classical Trade Theories about the reasons of trade mainly include the absolute cost advantage of factors,the comparative cost advantage of factors,the relative abundance of factors,the scale economic effects of industries and the heterogeneous productivity of enterprises.The first to the third Trade Theories are based on the assumptions of Complete Competitive Market Structure,and the fourth and the fifth Trade Theories are based on the the assumptions of Monopolistic Competitive Market.The basic economic thoughts are that the precondition of trade interaction is the relative price competitive advantage of trade goods.In real economic activities,a typical way for developing countries to implement economic catch-up strategy,is to participate in international division of labor,and carry out international trade at the expense of their own factors' reasonable income by restraining factor returns,which is also a Sub Optimal Choice to promote the rapid integration of their industries into the Global Value Chain.Based on the International Trade Theories and the practice of China's trade,this paper studies the impacts and mechanisms of Factor Price Distortions from the perspective of institutional reasons,so as to provide a new perspective for the further development and enrichment of International Trade Theories and Practices.How to describe Factor Price Distortions? Will Factor Price Distortions certainly generate intuitive trade growth? Do different Factor Price Distortions have heterogeneous impacts on trade growth? Are there structural different impacts of Factor Price Distortions on trade growth in different groups of countries? What is the mechanisms behind the impacts of Factor Price Distortions on trade growth? If you want to study the impacts and mechanisms of Factor Price Distortions on trade growth,you can not avoid the above issues.This paper follows the Economic Research Paradigm of mathematical logic and econometric demonstration,trys to establish a theoretical analysis framework of the impacts and mechanisms of Factor Price Distortions on commodity export,conducts empirical research on macro-economic data in the context of China from the help of morden econometric instruments,and through the robustness test of micro-enterprise data from Manufacturing Sectors,then completes the tasks of answering the above questions in the way of two theoretical hypothesis and empirical test.Based on the two theoretical analysis frameworks of micro-enterprise pricing mechanisms and macro-economic transmission mechanisms from the perspective of overall effects,this paper uses mathematical methods to deduce the impacts and mechanisms of Factor Price Distortions on trade growth.Based on the method of C-D production function,this paper constructs a State Space Model,and uses Kalman Filtering method to describe the dynamic Factor Price Distortions.The results show that China's Capital and Labor Factor Price Distortions are both negative,and Capital Factor Price Distortions are more serious than Labor Factor Price Distortions.The Panel Data econometric analysis based on the Trade Gravity Model shows that Capital Factor Price Distortions and Labor Factor Price Distortions have heterogeneous impacts on China's commodity export,and Capital Factor Price Distortions have an counterintuitive restraining effects on China's export growth,while Labor Factor Price Distortions have promoting effects on China's export growth.The robustness test of coefficient difference between groups based on Bootstrap method shows that,from the view of Capital Factor Price Distortions' restraining effects on China's export growth,there are no differences between the group of All Trade Partners and Belt and Road economies,and the group of Major Trad Partners and OECD Countries,but the influence of the former group is bigger than that of the latter group.From the view of Labor Factor Price Distortions' promoting effects on China's export growth,there are no structural differences between all of the groups of trade partners.The empirical research based on Intermediary Effect Model shows that,Capital Factor Price Distortions' restraining effects on China's export growth is completely through the intermediary path of restraining Investment,Labor Factor Price Distortions' promoting effects on China's export growth is partly through the intermediary path of restraining Consumption and expanding Income Gap(the intermediary effects account for 81.99% of the total effects).The empirical study on the export behavior of enterprises based on Logit Model shows that,the realistic performances of Capital Factor Price Distortions and Labor Factor Price Distortions,as well as their heterogeneous effects on China's export growth,are consistent between macro-economic data and micro-enterprise data.Finally,in order to contribute some new insights to the policy path of optimizing healthier development of China's trade,this paper returns to China's practical aims to construct a big and powerful trade nation from the basis of theoretical research and empirical analysis,trys to apply the results of empirical research to normative research,points out three policy suggestions,which are deepening the structural reform of Financial Supply Side,strengthening Human Capital Plan and Construction,and exploring the potential of export growth and expansion margin by insisting on classified advancement.