Impact of air connectivity on bilateral service export and import trade: The case of China

This paper examines the effect of bilateral air connectivity on bilateral service trade flows. The authors' service trade data includes ‘commercial’, ‘transport’, ‘travel’, and ‘government’ services. They developed a reduced-form gravity-type model using the Chinese data. An instrument variable (IV) approach is adopted to address the endogeneity issue between bilateral air connectivity and the service trade variables. Their key results are: (a) increasing the number of direct routes can significantly promote bilateral service export and import trades; (b) the average route-level traffic density has only marginal positive effects; (c) improving air connectivity would enlarge China's overall service trade deficit, because the transport and travel services imports are promoted more than their exports; (d) The ‘commercial’ service exports can be stimulated more than the imports, making China achieve larger commercial service trade surplus by improving bilateral air connectivity.

• Record URL:
  • https://doi.org/10.1016/j.tranpol.2024.01.015
• Record URL:
  • http://www.sciencedirect.com/science/article/pii/S0967070X24000234
• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/oclc/29485010
• Supplemental Notes:
  • © 2024 Elsevier Ltd. All rights reserved. Abstract reprinted with permission of Elsevier.
• Authors:
  • Oum, Tae Hoon
  • Wu, Xiangru
  • 0009-0008-5025-1760
  • Wang, Kun
  • 0000-0002-2137-9457
• Publication Date: 2024-3

Language

• English

Media Info

• Media Type: Web
• Features: Appendices; Figures; References; Tables;
• Pagination: pp 219-233
• Serial:
  • Transport Policy
  • Volume: 148
  • Issue Number: 0
  • Publisher: Elsevier
  • ISSN: 0967-070X
  • Serial URL: http://www.elsevier.com/locate/issn/096707X

Subject/Index Terms

• TRT Terms: Air routes; Air travel; Connectivity; International travel; Travel demand
• Geographic Terms: China
• Subject Areas: Aviation; Passenger Transportation; Policy;

Filing Info

• Accession Number: 01907669
• Record Type: Publication
• Files: TRIS
• Created Date: Feb 9 2024 2:51PM