PVAR Analysis on the Relationship between the National Cultural Distance and Core Cultural Products Trade between China and the "Road and Belt" Countries

• 1、Business Administration school,Liaoning Technical University, Huludao Liaoning PRC 125105

Abstract：based on the large-scale export of Chinese culture before and after the "Belt and Road" initiative, this paper selects bilateral trade flows of core cultural products between China and 29 "Belt and Road" countries since 1998-2016, as well as the optimized Hofstede cultural distance index. Based on which, the influence of cultural distance on the trade volume of core cultural products is tested empirically by building panel VAR model. The results show that the existence of cultural distance will hinder the trade of cultural products, and with the trade of cultural products, it will narrow the cultural distance. The result shows that the relationship between cultural distance and the volume of trade of core cultural products does exist in both directions, and the existence of cultural distance will hinder the trade of cultural products. The influence of the latter was more significant.

Keywords： Belt and Road cultural distance core cultural product trade flow