Research Article
Research on the Impact of Free Trade Zone on Dual Circulation Based on the Difference-in-Difference Model
@INPROCEEDINGS{10.4108/eai.18-11-2022.2327147, author={Jingjuan Shen and YaQing Cheng and Tong Pan and Dayou Jiang}, title={Research on the Impact of Free Trade Zone on Dual Circulation Based on the Difference-in-Difference Model}, proceedings={Proceedings of the 4th International Conference on Economic Management and Model Engineering, ICEMME 2022, November 18-20, 2022, Nanjing, China}, publisher={EAI}, proceedings_a={ICEMME}, year={2023}, month={2}, keywords={free trade zone dual circulation difference-in-difference model}, doi={10.4108/eai.18-11-2022.2327147} }- Jingjuan Shen
YaQing Cheng
Tong Pan
Dayou Jiang
Year: 2023
Research on the Impact of Free Trade Zone on Dual Circulation Based on the Difference-in-Difference Model
ICEMME
EAI
DOI: 10.4108/eai.18-11-2022.2327147
Abstract
The pilot free trade zone (FTZ) is an essential part of China’s deepening of reform and opening up and promoting high-quality economic development. Constructing a new pattern of domestic and international dual-circulation is the current development strategy that our country emphasizes. This paper adopts the seven FTZs established in 2017 as the reference object. The paper uses the Difference-in-Difference (DID) model for analyzing China’s provincial panel data from 2014 to 2020 to evaluate the impact of the establishment of an FTZ on local participation in the domestic and international dual circulation. The results show that the Anhui FTZ has a significant role in promoting regional involvement in the new dual-circulation development pattern. What’s more, this paper combines the current development trend of the Anhui FTZ, draws on the experience of the seven FTZs established earlier, and gives an effective strategy for the sustainable development of the Anhui FTZ in the future.