We review theoretical and empirical work on the economic effects of the United States and China trade relations during the last decades. We first discuss the origins of the China shock, its measurement, and present methods used to study its economic effects on different outcomes. We then focus...

This study proposes a novel channel through which trade liberalization may induce innovationthrough the reduction of trade policy uncertainties (TPU) in destination markets. To verify thislinkage, we utilize the significant reduction of TPU engendered by China’s accession to theWorld Trade...