JOURNAL OF JIANGHAN UNIVERSITY (Social Science Edition) ›› 2010, Vol. 27 ›› Issue (3): 51-55.

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On the Dynamic Law of Comparative Advantage Based
on the International Manufacturing Shift

HU Jun-wen   

  • Received:2010-03-19 Online:2010-07-12 Published:2013-12-30

Abstract: Manufacturing gradient, manufacturing tiers and comparative advantage are interrelated, interactive and interplayed. The implement of gradient shift of “margin manufacture” and the shift of the manufacturing regions by the manufacturing shift-out country (or region) and that of the “import substitute” by the manufacturing shift-in country (region) will lead to manufacturing dynamic variation in the aspect of comparative advantage between manufacturing shift-out and shift-in countries (regions), so to promote respective adjustment and updating of the manufacturing structure. Thus, only by accelerating the adjustment and updating of the manufacturing structure, can China avoid trapping in “low-end manufacture” and “fixed cost” and break through the trap of “enclave economy” effectively.

Key words: international manufacturing shift, comparative advantage, manufacturing shift-out country, manufacturing shift-in country, relocation, adjustment of manufacturing structure, regional economy

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