Quid Pro Quo and Technology Spillovers in the Chinese Auto Industry

  • Jing LIANG (Speaker)

Activity: Talks or PresentationsOther Invited Talks or Presentations


This project explores the impact of knowledge spillovers instigated by China's automotive industry policy on cost efficiency. The policy accelerates the adoption of advanced technologies and facilitates knowledge transfer both horizontally through labor mobility and vertically through shared suppliers. By analyzing automotive sales data and patent data from 2016 to 2020, the study examines knowledge spillovers among firms and assesses variations in cost reduction through various channels. The findings indicate significant benefits for affiliated companies within the same automotive groups, particularly through horizontal spillovers. Additionally, the study utilizes counterfactual analysis to examine the impact of the policy on supplier profits and consumer welfare. The results suggest a difference in profit between indigenous brands and joint ventures.
Period15 Mar 2024
Event titleECON Brownbag Seminars
Event typeSeminar
OrganiserDepartment of Economics
LocationHong Kong, Hong KongShow on map