December 8, 2023
Hoover Institution | Stanford University
The Hoover Project on China’s Global Sharp Power held an event titled: Industrial Policy Uncertainty in China on Friday, December 8, 2023 at 12:00 pm PT.
Will China maintain its comparative advantage in industrial policy? State-led investment boosts competitiveness today, but the long-run sustainability of this model depends crucially on policy efficiency. In this talk, Andrew Sinclair presented his work using a comprehensive dataset of all industrial policy announcements by China's State Council from 2008 to 2022 to find that policy uncertainty introduces a shadow financial cost that substantially reduces the efficiency of Chinese industrial policy. Industrial policies increase firm value, but investors heavily discount the value of future support because of the risk that policies may abruptly and arbitrarily change.
FEATURING
Andrew Sinclair is a Visiting Assistant Professor of Finance at Caltec, on leave from The University of Hong Kong. He is a financial economist studying modern China's financial system. He graduated with a PhD in finance from Yale University in 2017 and joined HKU the same year.
DISCUSSANT
Matthew Lowenstein is a Hoover Fellow at the Hoover Institution. He is an economic historian of late imperial and Republican-era China. Prior to entering academia, he worked as a securities analyst covering China equities at JCaptial Research.
,,fw4L6m6oVZs,UCzWwWbbKHg4aodl0S35R6XA, Business,Politics,Society, channel_UCzWwWbbKHg4aodl0S35R6XA, video_fw4L6m6oVZs,Hoover Institution senior fellow Elizabeth Economy and Rhodium Group Co-founder Daniel Rosen discuss the shift in Chinese economic policy under Xi Jinping, particularly his decision to move away from heavy investment in the property sector and focus on the "three new industries"—battery technology, electric vehicles (EVs), energy storage, and AI-driven advanced manufacturing.
#China #CCP #XiJinping #PRC #USA #America #UnitedStates #Trade #Economics #Tariffs #Politics #Geopolitics #Trump #DonaldTrump #EV #ElectricVehicle #Property #AI #ArtificialIntelligence ##Democracy #Battery #Technology #Taiwan #Philipines #HongKong #SouthChinaSea #Trade #TradeWar #Shorts #YouTubeShorts #ShortsVideo #ShortVideo
,,NuWFYdRqkJo,UCzWwWbbKHg4aodl0S35R6XA, Politics,Society, channel_UCzWwWbbKHg4aodl0S35R6XA, video_NuWFYdRqkJo,On #ChinaConsidered with host Elizabeth Economy, Matt Pottinger discusses how a second Trump administration might approach China policy. Pottinger explains that Trump may continue where he left off, largely utilizing the US-China trade relationship as a proxy for the problems in the broader relationship between the countries.
#China #CCP #XiJinping #PRC #USA #America #UnitedStates #Trade #Economics #Tariffs #Politics #Geopolitics #Trump #DonaldTrump #Democracy #Taiwan #Philipines #HongKong #SouthChinaSea #Trade #TradeWar #Shorts #YouTubeShorts #ShortsVideo #ShortVideo
,1,December 8, 2023
Hoover Institution | Stanford University
The Hoover Project on China’s Global Sharp Power held an event titled: Industrial Policy Uncertainty in China on Friday, December 8, 2023 at 12:00 pm PT.
Will China maintain its comparative advantage in industrial policy? State-led investment boosts competitiveness today, but the long-run sustainability of this model depends crucially on policy efficiency. In this talk, Andrew Sinclair presented his work using a comprehensive dataset of all industrial policy announcements by China's State Council from 2008 to 2022 to find that policy uncertainty introduces a shadow financial cost that substantially reduces the efficiency of Chinese industrial policy. Industrial policies increase firm value, but investors heavily discount the value of future support because of the risk that policies may abruptly and arbitrarily change.
FEATURING
Andrew Sinclair is a Visiting Assistant Professor of Finance at Caltec, on leave from The University of Hong Kong. He is a financial economist studying modern China's financial system. He graduated with a PhD in finance from Yale University in 2017 and joined HKU the same year.
DISCUSSANT
Matthew Lowenstein is a Hoover Fellow at the Hoover Institution. He is an economic historian of late imperial and Republican-era China. Prior to entering academia, he worked as a securities analyst covering China equities at JCaptial Research.
