Ternary Marginal Analysis on China's Agricultural Exports to the United States Market
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DOI: 10.23977/fmess2020.017
Author(s)
Xiaolan Lu, Siyuan Chen, Keyi Zhang
Corresponding Author
Xiaolan Lu
ABSTRACT
China-U.S. agricultural trade has the characteristics of China's continuous growth in trade volume with slowing growth and widening deficit. Based on SITC agricultural products data from 1992 to 2016 in UN Comtrade database, extensive margin, price margin and quantity margin of agricultural products exported from China to the United States in different economic periods were calculated, as well as their contribution rates to the growth of agricultural products export share. The research results show that the average extensive margin, price margin and quantity margin are 0.9137, 1.0216 and 0.0312, respectively. It shows that the agricultural products exported from China to the United States cover most tradable agricultural products, and the export price is slightly higher than the average price, while the export quantity accounts for less. The growth sources of China's agricultural exports to the United States are different in each research stage. In general, the growth of agricultural exports mainly comes from intensive margin growth, and the contribution rate of quantity margin is higher than that of price margin.
KEYWORDS
Agricultural Trade, Intensive Margin, Extensive Margin, Quantity Margin, Price Margin