Abstract

In the context of the prevalence of foreign trade protectionism, further promoting the process of urbanization help expand domestic demand and improve Chinese firms’ export competitiveness. This paper studies the effect of the city scale expansion on Chinese firms’ participation in exports. The results found that first, the city scale expansion will significantly promote the firm export participation; second, for different scale cities, the impact of different city size on the export participation of firms is different; third, considering the intermediary effect model, the industrial specialization level of (extra) large cities and small cities, the industrial diversification level in megacities and (extra) large cities and the industrial competitiveness of small cities have a partial intermediary effect on the expansion of urban scale and promotes the participation of firms in exports. In addition, industrial competitiveness and industrial diversification in megacities and small cities respectively have a masking effect on the expansion of urban scale and promote the participation of firms in exports.

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