Impacts of the Free Trade Area of the Pacific (FTAAP) on Production, Consumption, and Trade of the Philippines
AbstractThis paper examines the economy-wide impacts of a Free Trade Area of the Asia Pacific (FTAAP) on the Philippine economy. In particular, it uses an applied general equilibrium model to determine the effects of alternative scenarios on aggregate and sectoral outputs, consumption, and international trade. The paper also compares the FTAAP to reforms which are confined to the ASEAN plus 3 and to a broader set of tariff changes that covers all the trading partners of the Philippines. The findings of the paper are as follows. First, the FTAAP is likely to benefit the Philippines in the form of higher aggregate output and employment. However, such gains are not projected for all industries as the simulation results indicate declines in the outputs of activities related to rice and corn. Second, the benefits from the FTAAP are likely to come more from the removal of tariffs on nonagriculture products. Finally, the aggregate gains from the FTAAP are larger than an arrangement which is limited to ASEAN plus 3 countries. However, the differences in the impacts do not appear to be very large.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Philippine Institute for Development Studies in its series Discussion Papers with number DP 2008-20.
Date of creation: 2008
Date of revision:
international trade; Philippines; free trade area; applied general equilibrium models; Asia Pacific Economic Cooperation;
This paper has been announced in the following NEP Reports:
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lewis, Jeffrey D. & Robinson, Sherman & Zhi Wang, 1995.
"Beyond the Uruguay Round : the implications of an Asian free trade area,"
Policy Research Working Paper Series
1467, The World Bank.
- Lewis, Jeffrey D. & Robinson, Sherman & Wang, Zhi, 1995. "Beyond the Uruguay Round: The implications of an Asian free trade area," China Economic Review, Elsevier, vol. 6(1), pages 35-90.
- Shoven,John B. & Whalley,John, 1992.
"Applying General Equilibrium,"
Cambridge University Press, number 9780521266550, October.
- Warwick J. McKibbin, 1996.
"Quantifying APEC Trade Liberalization: A Dynamic Analysis,"
Departmental Working Papers
1996-01, The Australian National University, Arndt-Corden Department of Economics.
- McKibbin, W.J., 1996. "Quantifying APEC Trade Libralization: A Dynamic Analysis," Papers 122, Brookings Institution - Working Papers.
- Warwick. J. McKibbin, . "Quantifying APEC Trade Liberalization: A Dynamic Analysis," Discussion Papers 122, Brookings Institution International Economics.
- Prof Warwick McKibbin, 1996. "Quantifying APEC Trade Liberalization: A Dynamic Analysis," Trade and Development 96/1, Australian National University, Department of Economics.
- U-Primo E. Rodriguez & Liborio S. Cabanilla, 2006. "The Impact of a Philippine-US FTA : The Case of Philippine Agriculture," Development Economics Working Papers 22693, East Asian Bureau of Economic Research.
- Cabanilla, Liborio S. & Rodriguez, U-Primo E., 2006. "The Impact of a Philippine-US FTA: The Case of Philippine Agriculture," Discussion Papers DP 2006-06, Philippine Institute for Development Studies.
- Caesar B. Cororaton & John Cockburn & Erwin Corong, 2005. "Doha Scenarios, Trade Reforms, and Poverty inthe Philippines: a CGE Analysis," Working Papers MPIA 2005-03, PEP-MPIA.
- Cororaton, Caesar B., 1994. "Structural Adjustment Policy Experiments: The Use of Philippine CGE Models," Discussion Papers DP 1994-03, Philippine Institute for Development Studies.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Aniceto Orbeta).
If references are entirely missing, you can add them using this form.