To Foster Competitive Advantage on the Base of Comparative Advantage——as to the Commodity Trade Development Strategy of China
Song Ying-na
Abstract
Song Ying-na
Abstract
The influence of the comparative advantage theory on the world trade development is far-reaching,but with economic development,the comparative advantage theory displays some defects in reality.For developing countries,in order to prevent the forming of comparative advantage trap and the deterioration of trade terms,it is important to establish their national competitive advantage as soon as possible.This paper expounds the defects of the comparative advantage theory and analyzes the possibility and the feasibility that China sets up its competitive advantage.
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The influence of the comparative advantage theory on the world trade development is far-reaching,but with economic development,the comparative advantage theory displays some defects in reality.For developing countries,in order to prevent the forming of comparative advantage trap and the deterioration of trade terms,it is important to establish their national competitive advantage as soon as possible.This paper expounds the defects of the comparative advantage theory and analyzes the possibility and the feasibility that China sets up its competitive advantage.
Key concepts: Comparative advantage, Competitive advantage, Commodity, China, Order (exchange), Industrial organization, Economics, International trade