This paper investigates systematic linkages among "reverse imports", foreign direct investment, and exchange rates. We have in mind the competition in the Japanese market of a Japanese multinational firm and a Chinese domestic firm. Products are differentiated based on Japanese consumers' brand...

This paper provides an extensive analysis on the Sino-Japanese trade and Japanese direct investment in China. It investigates the trend, the growth and the structure change of the bilateral trade, and examines the scale, the major characteristics of Japanese FDI in China, as well as its...

This paper models the production allocation choices of a multinational enterprise (MNE) in a three-country framework -- a northern country and two southern countries. The products made in the southern countries are of lower quality, and have higher substitutability than those between the south...

This paper quantifies the effect of the government-controlled appreciation of the Chinese renminbi (RMB) vis-à-vis the USD from 2005 to 2008 on the prices charged by US producers. As the RMB during that time was pegged to a basket of currencies, the empirical strategy must account for the fact...

This paper studies the performance of China’s exports during the 2008—2009 financial crisis. It focuses on the speed at which China’s exports were hit by this downturn. Product-country monthly exports data is utilized. It is found that GDP growth rates of importing countries play an...

In recent years wages in China have been rising and the yuan has appreciated, potentially eroding China’s cost advantage in manufactures. This paper explores the evolution of China’s relative unit labor costs in manufacturing over 1998-2009. Between 1998 and 2003 China’s unit labor costs...

We provide an empirical analysis of host country determinants of Chinese outward FDI for the period 2003 to 2008, using data disaggregated by country and industry. We want to assess the relevance of market-seeking, resource-seeking and strategic asset seeking motivations suggested by the theory...

This paper examines the impact of the participation of Vietnam to WTO as well as of the abolition of restrictions on Chinese exports of textiles and clothing to the US and EU on the Cambodian Economy, by using a computable general equilibrium model. A seminal aspect of this paper is that this...

This paper examines the influence of Mongolia's landlocked location between Russia and China on the country's international trade patterns through the use of an augmented gravity model. The results are basically consistent with the prediction of the gravity model with some unexpected results on...

This paper examines the FDI and exchange rates nexus in the context of one FDI source and two host countries. It focuses on the effect of exchange rates on the relative FDI inflows between the two host countries. The theoretical analysis shows explicitly that the relative FDI inflows are a...