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Miaojie Yu

Peking University

Miaojie Yu is a Boya Distinguished Professor of Economics at the Peking University in Beijing China where he also holds the position of a Secretary of the Party Committee and Deputy Dean of the National Development Research Institute. He has won different national and international award such as the National Outstanding Youth Fund award in China and the Royal Economic Society Prize. He obtained his PhD in Economics at the University of California, Davis. His research interest is international Trade and Development Economics.
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publication
Distribution, outward FDI, and productivity heterogeneity: China and cross-countries’ evidence

This paper examines distribution-oriented outward FDI using Chinese multinational firm–level data. Distribution outward FDI refers to Chinese parent firms in manufacturing that penetrate foreign markets through wholesale trade affiliates that resell exportable goods. Our estimations correct for rare-events bias and show that distribution FDI are more productive than non-FDI firms but less productive than non-distribution FDI firms. As cross-border communications costs (transportation costs) increase, there is a higher the probability that firms engage in distribution FDI (non-distribution FDI). Our endogenous income-threshold estimates show that high-productivity Chinese firms invest more in high-income countries, but not necessarily in low-income countries.

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publication
China’s manufacturing value chain ascent to date

This chapter utilizes total factor productivity (TFP) to measure the performance of large Chinese firms in 2001–2008. The upgrading of China’s manufacturing value chain that has resulted from integration with world markets has rich policy implications. The chapter describes the performance of the Chinese manufacturing sector, including total manufacturing products and manufacturing exports. It estimates and measures China’s TFP growth in manufacturing sectors using firm-level data and a semi-parametric approach. China’s contemporary reform-era export-oriented development strategy was inspired by the successful experience of growth model in other Asian emerging economies, including Hong Kong, South Korea, Taiwan, and Singapore. The chapter reviews the fundamental economic theory to understand China’s value-chain upgrading, and discusses the policies that are needed to ensure the competitiveness of manufacturing in the future and avoid the middle-income trap.

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publication
Unexceptional exporter performance in China? The role of processing trade

The firm level trade literature finds that exporters are exceptional performers for a wide range of countries and measures. Paradoxically, the one documented exception is the world's largest exporter, China. We show that this puzzling finding is entirely driven by firms that engage only in export processing — the activity of assembling tariff exempted imported inputs into final goods for resale in the foreign markets. We find that processing exporters are less productive than non-processing exporters and non-exporters, and have inferior performance in many other aspects such as profitability, wages, R&D and skill intensity. Accounting for processing exporters explains the abnormality in exporter performance in China documented in the previous literature. Low fixed costs of processing exporting, as well as the trade and industrial policies favoring processing exporters are both responsible for the low productivity of processing exporters. Our analysis suggests that distinguishing between processing and non-processing exporters is crucial for understanding firm-level exporting behavior in China. It also provides caveats in analyzing the exporter performance in other developing countries that are highly integrated into the global value chains.

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