Trade policy and industrial policy in China: What motivates public authorities to apply restrictions on exports?

摘要: Abstract This paper investigates the motives behind China's fiscal policy targeting exports. It relies on detailed data at product level over period 2002–2012. We analyze two major export instruments: tax and VAT rebate. Our results suggest that while pursuing many objectives simultaneously, Chinese used instruments in a complementary way with aim of achieving their industrial strategic objectives. Some are officially stated such as promoting technology or environmental protection, others do not appear official documents, subsidizing downstream sectors. also observed China managed these dynamically to address temporary shocks, for example temper rising food price support sectors sensitive competitiveness middle financial crisis.