TY  - GEN
TI  - China?s Economic Diplomacy and the Politics-Trade Nexus
AV  - public
ID  - heidok20377
EP  - 25
T3  - Discussion Paper Series, University of Heidelberg, Department of Economics
Y1  - 2016/03//
KW  - economic diplomacy
KW  -  international trade
KW  -  embassies
KW  -  political climate
KW  -  state visits
KW  -  leadership travel
KW  -  emerging economies
KW  -  China
KW  -  Dalai Lama
KW  -  Tibet
A1  - Fuchs, Andreas
N2  - This article reviews the literature on the linkages between political tensions, economic diplomacy and international trade in the light of China?s rise in the global economy. The existing scholarly work suggests that economic diplomacy should be more pivotal in economic exchange with
China than with Western market economies. In an econometric test, I analyze how diplomatic tensions, measured through foreign dignitaries? meetings with the Dalai Lama, affect the likelihood of an official visit from a Chinese leader. The results show that the likelihood of the Chinese leadership traveling to a country is 13.6 percent lower if the country?s government receives the Dalai Lama in a
given year but increases in the following year, supposedly to restore ties. This finding underlines that economic diplomacy is an important channel linking political climate and economic exchange between nations.
UR  - https://archiv.ub.uni-heidelberg.de/volltextserver/20377/
CY  - Heidelberg
ER  -