Analysis of the Influence of International Trade Flow Based on Trade Gravity Model and Statistics in as Evidence

In recent years, faced with an increasingly globalized economy, China has carried out the strategy of free trade area, drawing the eyes of the entire world. In this paper, trading statistics of China and its 14 trading partners from 2000 to 2010 is taken as sample and a gravity model is expanded by adding variables including the access to free trade agreement to conduct a case analysis to the influence of international trade flow. According to the statistics, the economic size, population, culture and trading regime are all imposing much impact on China's international trade. Indeed, the establishment of free trade area contributes a lot to the trading flow of between China and its trading partners as opposed to the dramatic negative impact of distance to its trade flow.