TY  - JOUR
AU  - Hsieh,Chang-Tai
AU  - Ossa,Ralph
TI  - A Global View of Productivity Growth in China
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 16778
PY  - 2011
Y2  - February 2011
UR  - http://www.nber.org/papers/w16778
L1  - http://www.nber.org/papers/w16778.pdf
N1  - Author contact info:
Chang-Tai Hsieh
Booth School of Business
University of Chicago
5807 S Woodlawn Ave
Chicago, IL 60637
Tel: 773/8340590
Fax: 484-589-3583
E-Mail: chsieh@chicagoBooth.edu

Ralph Ossa
University of Chicago
Booth School of Business
5807 South Woodlawn Avenue
Chicago, IL 60637
Tel: 773/702-8907
E-Mail: ralph.ossa@chicagobooth.edu
AB  - How does a country's productivity growth affect worldwide real incomes through international trade? In this paper, we take this classic question to the data by measuring the spillover effects of China's productivity growth. Our framework features traditional terms-of-trade effects and new trade home market effects as suggested by the theoretical literature and works from a reference point which perfectly matches industry-level trade. Focusing on the years 1995 to 2007, we find that the cumulative welfare effect on individual regions ranges between -1.2 percent and 3.6 percent and only 3.0 percent of the worldwide gains of China's productivity growth accrue to the rest of the world.
ER  -