PEI Changhong,etc:The Effect of Negative List on Global Value Chain of Service Industry

Abstract：Based on the decomposition of trade added value proposed by Wang, Wei and Zhu (2013), this paper empirically tested the effect of negative list on the service global value chain by employing transnational panel data. Main findings are as follows. (1) Negative list increases the proportion of foreign added value in intermediate service export, and promotes the fragmentation of service global value chain. (2) For “big countries”, negative list increases the proportion of foreign added value in both final and intermediate service export, which put the big counties at the dominant position in global value chain. (3) Modern service industry is greatly influenced by negative list, which leads to a more specialized service delivery process on a global scale. Finally, suggestions to upgrade China's service global value chain are proposed accordingly.

Key words： Negative List    Global Value Chain    Decomposition of Trade Added Value    DID

source:Finance & Trade Economics ,No.12,2014