近日，北大国发院余淼杰教授与合作者加拿大多伦多大学的Daniel Trefler教授、Kevin Lim教授合作的英文工作论文（尚未正式发表）“Trade and Innovation: The Role of Scale and Competition Effects”获上海财经大学主办的英文期刊Frontier of Economics in China年度最佳论文奖。
Trade and Innovation:The Role of Scale and Competition Effects
Kevin Lim, Daniel Trefler, Miaojie Yu
June 13, 2018
This paper studies the effects of scale and competition on firm-level innovation in China. Using both econometrics and a calibrated structural model, we disentangle the mechanisms via which trade affects innovation, focusing on scale effects (impact on market size) and competition effects (impact on markups). The structural model also examines heterogeneity of these affects across firms, which leads to a new mechanism for competition effects: firms can escape the competition by innovating into a market segment where competition is less intense. The econometric estimates and simulations of the calibrated structural model indicate that both scale and competition effects are important for understanding how trade affects innovation in China. In particular, scale effects of trade on innovation are positive in the aggregate, whereas competition effects are negative. However, when firms can innovate to escape the competition, greater competition induced by lower trade barriers can lead firms to increase innovation rather than reduce it. Finally, the calibrated model allows us to examine the impact of reductions in trade costs between China and the OECD on quality, productivity, markups and innovation around the world.