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Assessing the impact of the main East-Asian free trade agreements using a gravity model. First results

Author

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  • Laëtitia Guilhot

    (LEPII-CNRS)

Abstract

The purpose of this article is to assess the impact of the three main East-Asian free trade agreements (ASEAN, ASEAN-China and ASEAN-South Korea) on intra-regional and extra- regional trade. To do this, we use a panel-data gravity model with three regional indicator variables. On the basis of the results, we conclude that the ASEAN agreement favours regional and multilateral trade, with the creation of exports to the rest of the world outweighing the diversion of extra-regional imports. The ASEAN-China and ASEAN-South Korea agreements have thus far not been shown to have an impact on East-Asian trade flows.

Suggested Citation

  • Laëtitia Guilhot, 2010. "Assessing the impact of the main East-Asian free trade agreements using a gravity model. First results," Economics Bulletin, AccessEcon, vol. 30(1), pages 282-291.
    • Handle: RePEc:ebl:ecbull:eb-09-00555
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    References listed on IDEAS

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    Cited by:

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    2. Catherine Figuière & Laëtitia Guilhot, 2010. "L'Asie d'une crise à l'autre : l'impact sur l'intégration régionale," Post-Print halshs-00493869, HAL.
    3. Catherine Figuière & Laëtitia Guilhot, 2010. "La Chine : avenir du découplage asiatique ?," Post-Print halshs-00456498, HAL.

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    More about this item

    Keywords

    Free Trade Agreement; East Asia; Gravity model;
    All these keywords.

    JEL classification:

    • C2 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables
    • F1 - International Economics - - Trade

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