A Study On The Impact Of Financial Efficiency On China's International Competitiveness In Its Manufacturing Industries

Under the trend of economic globalization,international competitiveness has become a key factor to determine the success of competition.For a country,the competitiveness of their industries is the foundation of its overall competitiveness.Since the worldwide financial crisis in 2008,the global economy has entered a period of deep adjustment.In order to cope with the economic recession,the developed countries such as Europe and America have put forward the strategy of "Reindustrialization",emphasizing the significance of the real economy.And they hope to improve the international competitiveness by revitalizing the manufacturing industry.Meanwhile,since 2002,the manufactured goods in China accounted for over 90% of the total exports.It can be seen that the productivity level of manufacturing industry directly reflects China's competitiveness and plays an important role in the operation and development of the national economy.In recent years,with the gradual disappearance of labor cost advantage,the developing countries,like Vietnam and India,who rely on lower cost advantages begin to seize market share.Our country is facing the problems of increasing production cost and the backward situation of informatization.Therefore,in the background of weakening in comparative advantage,we need to find a new power to enhance the competitiveness of China's manufacturing industry.Based on the comparative advantage theory of financial development,this paper set up the econometric model,using the panel data of 27 industries in China from2002 to 2014,and finds that in general,financial efficiency has a positive impact on the international competitiveness of the industry as a new comparative advantage,and it has a greater role for the industry with higher external financing dependence.Moreover,the impact is more significant on the technology-intensive industry and lower in the labor-intensive industry.