The Empirical Analysis On The Influencing Factors Of Intra-Industry Trade Of Cultural And Creative Products Between China And Czech Republic

With the deepening of economic globalization,cultural and creative industries have developed rapidly with their rich cultural connotations and innovative industrial forms,and have become a powerful driving force for economic development.At the same time,as China's important trading partner in the Central and Eastern Europe region,the Czech Republic has close trade relationship with China in terms of cultural and creative products.Therefore,studying the influencing factors of intra-industry trade and discussing how to improve the trade of cultural and creative products between China and Czech Republic have important practical significance for the sustainable trade between China and Czech Republic.In this paper,firstly,we make corresponding literature review on both domestic and foreign scholars' research related to cultural and creative industries and intra-industry trade.Then based on the existing research results,an innovative research is attempted.Subsequently,based on the availability of data,the import and export volume of cultural and creative products trade between China and Czech Republic between 2002 and 2015 was selected and the status quo was analyzed: charts were used to analyze the overall level and structural changes in the trade of cultural and creative products between China and Czech Republic;The index system for intra-industry trade,including static indicators,dynamic indicators and classification indicators,is measured and analyzed accordingly.The conclusions of the study are as follows: Sino-Czech trade of cultural and creative products presents a trade surplus with China as the leading exporter.The volume of trade between the two countries declined in 2008 due to the economic crisis,but it has clearly recovered in recent years.The level of intra-industry trade in cultural and creative products between China and Czech Republic is relatively low.But judging from the overall development trend of the indicators,the level of intra-industry trade between the two countries is continuously deepening;The trade of cultural and creative products is based on vertical intra-industry trade.Next,based on the previous literature review and index measurement and analysis,the mechanism of product differentiation,consumer demand preferences,capital investment and other factors affecting intra-industry trade,a regression model for static indicators and classification indicators was established by including many potential influencing factors,including cultural development costs,economic price levels,scientific and technological levels,and distances of political systems.A regression model for unit root test,multiple regression and other methods is established to empirically analyze the influencing factors of Sino-Czech cultural and creative products intra-industry trade.The empirical results show that,as a whole,per capita income difference and the institutional distance have an inhibitory effect on the intra-industry trade,while the investment in cultural business fees has a role in promoting intra-industry trade.From the perspective of classification,the per capita income difference and the terms of trade in China have a negative effect on the level of intra-industry trade of Sino-Czech cultural and creative products;the vertical intra-industry trade of cultural and creative products is in line with the changes in per capita income and cultural expenses,but it is opposite to the market openness.Finally,based on the above analysis,the paper proposes some feasible suggestions:reducing the difference in per capita income between China and other countries,such as increasing economic development in the central and western regions of China;increasing investment in government cultural undertakings;narrowing the distance of economic systems,such as strengthening economic exchanges between the two countries,and jointly formulating win-win policies;targeted adjustments in Market openness of diverse products and China's terms of trade to promote the diversified development of cultural products.