Cristea, AncaKamanga, Promise2024-01-092024-01-092024-01-09https://hdl.handle.net/1794/29160China is using the policy of diplomacy to increase its global influence, especially among developing countries. From 1995 to 2019, twenty-two developing countries from various parts of the world switched diplomatic allegiances from Taiwan to China. This dissertation evaluates how this diplomatic policy change affected various trade outcomes of the countries that switched allegiances. In summary, it finds that trade with Taiwan decreased, especially imports from there. For trade with China, the value of imports increased but that of exports decreased. This decrease in the value of exports spared the sectors for which the switching countries enjoyed comparative advantages.en-USAll Rights Reserved.ChinaDeveloping countriesDiplomatic relationTaiwanTrade outcomesThe Trade Impact of Diplomatic Relations in Developing Countries: The Choice between China or TaiwanElectronic Thesis or Dissertation