Trade Shocks and Credit Reallocation
研究发现贸易自由化后，银行因贷款集中于受中国进口竞争冲击的行业而出现不良贷款上升，进而削减对所有企业的信贷，导致就业、投资和产出下降，金融渠道放大了贸易冲击并波及本应扩张的行业。
This paper identifies a credit-supply contraction that arises endogenously after trade liberalization. Banks with loan portfolios concentrated in sectors exposed to competition from China face an increase in nonperforming loans after China’s entry into the World Trade Organization. As a result, they reduce the supply of credit to firms, irrespective of the firm’s sector of operation. This cut in credit translates into lower employment, investment, and output. Through this mechanism, the financial channel amplifies the shock to firms already hit by import competition from China and passes it on to firms in sectors expected to expand upon trade liberalization.