Africa’s Rising Exposure to China: How Large Are Spillovers Through Trade?

Autor: Estelle X Liu, Paulo Drummond
Rok vydání: 2015
Předmět:
Economics and Econometrics
Economic growth
Informal sector
Domestic investment
Economic sector
International economics
Investment (macroeconomics)
Sierra leone
Cape verde
Spillover effect
Exports
Ethiopia
Equatorial Guinea
Eritrea
China
Chad
Central African Republic
Congo
Democratic Republic of the
Congo
Republic of
Comoros
Djibouti
Cape Verde
Cameroon
Burkina Faso
Burundi
Benin
Botswana
Angola
Rwanda
Seychelles
Sierra Leone
Senegal
Spillovers
South Africa
Guinea
Guinea-Bissau
Gambia
The
Gabon
Ghana
Nigeria
Niger
Mozambique
Namibia
Mauritius
Mali
Mauritania
Investment
Liberia
Lesotho
Malawi
Madagascar
Kenya
Uganda
Togo
Trade
Tanzania
Swaziland
Sudan
Sub-Saharan Africa
Zimbabwe
Zambia
spillover
panel data
econometrics
export growth
exporters
oil exporters
total exports
General
Economics
General Earth and Planetary Sciences
General Economics
Econometrics and Finance
Developed country
General Environmental Science
Panel data
Zdroj: International Advances in Economic Research. 21:317-334
ISSN: 1573-966X
1083-0898
DOI: 10.1007/s11294-015-9537-9
Popis: The rapid growth in China’s domestic investment in recent decades has generated a large appetite for global goods, including from sub-Saharan Africa (SSA). This paper estimates the impact of changes in China’s investment growth on SSA’s exports. Although rising trading links with China have allowed African countries to diversify their export base across countries away from advanced economies, they have also led SSA countries to become more susceptible to spillovers from China. Based on panel data analysis, a one percentage point increase (decline) in China’s domestic investment growth is associated with an average 0.6 percentage point increase (decline) in SSA countries’ export growth. This impact is larger for resource-rich countries, especially oil exporters. These effects could be mitigated, however, to the extent that countries can reorient their exports.
Databáze: OpenAIRE
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