Export Tax Rebate Policy,Enterprise Cost Markup And Total Factor Productivity

As one of the most representative,most frequently adjusted and most widely influential tax systems in China’s foreign trade,the export tax rebate policy has been widely concerned about its policy effects and its impact on the total factor productivity of export-oriented enterprises.At the same time,as an important factor affecting the production decision of enterprises,the adjustment effect of the enterprise cost markup on the enterprise productivity is also worthy of study.Then,will the change in the export tax rebate rate be linked to the cost markup of the enterprise and the total factor productivity of the enterprise? What is its impact mechanism? In order to answer the above questions,this paper uses the M-O model from a theoretical level to explore the internal relationship between export tax rebates,cost plus,and total factor productivity.In the empirical aspect,this study uses the difference-in-difference method to verify the impact of export tax rebate adjustment on enterprise productivity.The starting point of the incident was the quasi-natural experiment that the government raised the export tax rebate rate of some products seven times after the 2008 financial crisis.The data uses the 2005-2012 years of Chinese industrial enterprises to match the consolidated database of Chinese customs.Both theoretical and empirical results show that the rise of export tax rebate rate will significantly promote the improvement of enterprise total factor productivity.Specifically,the rise of export tax rebate rate will inhibit the cost markup of enterprises,thus affecting the production decision-making of enterprises and promoting enterprises to improve production efficiency to adapt to the fierce market competition environment.The further research conclusion is that general trade enterprises,foreign-funded enterprises and enterprises in the eastern region are more sensitive to the adjustment of export tax rebate policy,and the change of total factor productivity is greater;From the nature of different industries,the industries with higher average productivity are more impacted by the change of export tax rebate policy.