The Empirical Research On Agricultural Intra-industry Trade Of China

At present, Intra-industry trade research is the hotspot and at the cutting edge of international trade theory, It gives a good explanation of the current reality of international trade. Most Chinese researchers go deep into Intra-industry trade on the whole or just on industry domain, but they neglect the importance of agricultural intra-industry trade. Based on intra-industry trade theory and from the empirical point of view, the thesis reviews the agricultural intra-industry trade.Intra-industry trade mainly bases on products variation, scale economy and incomplete competitions. It explains the phenomenon which widely exists in intra-industry trade of the current international trade very well. After introducing the intra-industry trade theory, the thesis confirms the existence of intra-industry in the agricultural domain from both theoretical and empirical angles. It also shows that intra-industry trade theory can guide the international trade division. The thesis calculates our country’s agricultural intra-industry index at the level of the whole, division and chapter by using Grubel-Lloyd index, Bruelhart Marginal index and Thom&McDowell’s ⅦT and HⅡT Index. It reveals that our country’s agricultural intra-industry trade is at a low level. In the first division (live animal, live animal Products), intra-industry trade is on the Predominant Position. The second division (Plant Products) is mainly consists of inter-industry trade, but the intra-industry trade in this division is on the rising trend. Inter-industry trade is Predominant and the intra-industry trade is at low level in both the third and forth divisions. Specifically China’s agricultural intra-industry trade is very uneven and each chapter varies a lot.The thesis extracts the trading data during the period from1997to2010and forms a industry trade from Resources endowment, Scale economy, Per capita income, Difference product, Demand of similar degree angles. Regression results tell us that Per capita income, Demand of similar degree have great influences on our country’s agricultural intra-industry trade level while Resources endowment, Scale economy, Difference product have relatively less influences.In conclusion, the thesis shows the importance of our country’s agricultural intra-industry trade based on the empirical analysis results, and it also gives some practical policy suggestions.