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A Quantitative Evaluation of Vietnam's Accession to the ASEAN Free Trade Area

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  • Martin, Will

    ()
    (The World Bank)

Abstract

This paper analyses the impacts of Vietnam's ASEAN Free Trade Area(AFTA) accession using a multi-region and muti-sector general equilibrium model. The static benefits of AFTA accession are likely to be relatively small. The gains from increased access to ASEAN makets would be small, and the would be offset by the costs of trade diversion. If Vietnam extends its AFTA commitments on a non-discriminatory basis, Vietnam's welfare would increase substantially. These gains are larger in part because the broader liberalization reduce the costly trade diversion and partly the resources are more efficiently allocate among Vietnam's industries. Although some currently protected industries would contract, the expansion of labor intensive manufacturing would bring greater benefits.

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Bibliographic Info

Article provided by Center for Economic Integration, Sejong University in its journal Journal of Economic Integration.

Volume (Year): 16 (2001)
Issue (Month): ()
Pages: 545-567

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Handle: RePEc:ris:integr:0177

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Web page: http://econo.sejong.ac.kr/
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Related research

Keywords: ASEAN; Free Trade Area; Vietnam; CGE;

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References

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  1. Diego Puga & Tony Venables, 1995. "Preferential trading arrangements and industrial location," LSE Research Online Documents on Economics 2151, London School of Economics and Political Science, LSE Library.
  2. Jeffrey Sachs & Andrew Warner, 1995. "Economic Reform and the Progress of Global Integration," Harvard Institute of Economic Research Working Papers 1733, Harvard - Institute of Economic Research.
  3. Puga, Diego & Venables, Anthony J, 1999. "Agglomeration and Economic Development: Import Substitution vs. Trade Liberalisation," Economic Journal, Royal Economic Society, vol. 109(455), pages 292-311, April.
  4. Martin, Will J. & Warr, Peter G., 1994. "Determinants of agriculture's relative decline: Thailand," Agricultural Economics: The Journal of the International Association of Agricultural Economists, International Association of Agricultural Economists, vol. 11(2-3), December.
  5. Martin,Will & Winters,L. Alan (ed.), 1996. "The Uruguay Round and the Developing Countries," Cambridge Books, Cambridge University Press, number 9780521586016, April.
  6. W. E. G. Salter, 1959. "Internal And External Balance: The Role Op Price And Expenditure Effects," The Economic Record, The Economic Society of Australia, vol. 35(71), pages 226-238, 08.
  7. Martin, Will J. & Warr, Peter G., 1994. "Determinants of agriculture's relative decline: Thailand," Agricultural Economics, Blackwell, vol. 11(2-3), pages 219-235, December.
  8. Martin, W. & Winters, L.A., 1995. "The Uruguay Round and the Developing Countries," World Bank - Discussion Papers 307, World Bank.
  9. Huff, Karen & Thomas W. Hertel, 2001. "Decomposing Welfare Changes in GTAP," GTAP Technical Papers 308, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
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Cited by:
  1. Auffret, Phillipe, 2003. "Trade reform in Vietnam : opportunities with emerging challenges," Policy Research Working Paper Series 3076, The World Bank.
  2. Nielsen, Chantal Pohl, 2002. "Social accounting matrices for Vietnam 1996 and 1997," TMD discussion papers 86, International Food Policy Research Institute (IFPRI).
  3. Wilson, John S., 2002. "Liberalizing trade in agriculture : developing countries in Asia and the post-Doha agenda," Policy Research Working Paper Series 2804, The World Bank.

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