Bingxue Wang

Bingxue Wang profile
Bingxue Wang
Date of Submission: 20/09/2022
Supervisors: Antonio Navas, Jolian McHardy

Research project title

Towards A welfare Model of Trade and FDI with Oligopolistic Competition 

Abstract PhD thesis

The thesis investigates the welfare effects of international trade and horizontal FDI with firm heterogeneity and variable markups using an oligopolistic competition framework. The first main chapter constructs a theoretical model with two symmetric countries and studies the properties of the model under three scenarios: autarky, trade openness and multinational production, separately to examine the welfare gains from each case. This chapter shows a critical source of welfare gains from trade liberalisation, the pro-competitive effect, which has attracted limited attention in the FDI literature. Multinational firms generate the most significant welfare gains through the largest selection effect and the lowest markups, increasing aggregate productivity and suffering the fiercest competition. The second main chapter extends the first by incorporating innovation, which enlarges the welfare gains via the innovation effect of cost reduction, and this is the third channel of the most significant welfare gains from multinational production. Finally, the third main chapter considers an economy where domestic firms, exporters and multinational firms can co-exist in the same industry. It introduces a different stationary condition to determine the economy’s equilibrium. It examines the welfare gains of trade liberalisation because of the selection effect for domestic firms, the pro-competitive effect for exporters and the efficiency of engagement of horizontal FDI, which is the new source of the welfare effects. (The thesis is funded by ESRC White Rose DTP 1+3 Pathway Scholarship).

Job sought

Research associate or lecturer related to international trade and FDI, industrial organisation, firm productivity and innovation.

Research in Progress

Towards a welfare model of trade and FDI with oligopolistic competition and innovation” (with Antonio Navas and Jolian McHardy) 

On the incentives to induce entry with asymmetric oligopoly” (with Antonio Navas and Jolian McHardy) 


Wang, Guocheng., Wang, Bingxue. and Zhang, Shiguo. (2018). ‘The Interdependence between Individual and Group Decision-Making with Applications in Chinese Stock Market’, Journal of Business and Economics 9(10), 888-889. DOI:10.15341/jbe(2155-7950)/10.09.2018/006 

Wang, Bingxue. and Wang Guocheng. (2019). ‘New Research Progress on Macroeconomic Models From the Perspective of Micro-behavior’, Economic Perspectives, (11), pp.126-139. (CSSCI)

Wang, Guocheng. and Wang Bingxue. (2020). ‘Getting out of the micro-labyrinth of economic development’, Study & Exploration, 301(8), pp.109-116. (CSSCI) 

Wang, Guocheng. and Wang Bingxue. (2021). ‘The Innovation and Development of Economic Theory Research Based on Deepening Micro-Analysis’, Modern Economic Science, 43(2), pp.74-84. (CSSCI) 

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