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Economic development of land-border regions under ASEAN economic integration

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  • Okabe, Misa

Abstract

Although ASEAN members have achieved economic growth through regional economic integration, the development gap between urban and rural regions remains a key challenge for most members. Economic development in land-border regions, which is still lagging, is also a significant measure to reduce regional disparities. This study examines whether trade liberalisation facilitates or hinders the development of land-border regions among ASEAN members. We estimate the effects of trade with adjacent country on the level of economic activity in the land-border regions of Cambodia, Laos, Myanmar, Thailand, and Vietnam using satellite nighttime light density. Our findings support the positive effects of trade with adjacent country on economic development in land-border regions. Additionally, lower transportation costs and better market access are significant factors that promote economic development in land-border regions. Although the positive effects of participating in regional production networks are still limited, both domestic and international transport infrastructures are significant factors in enabling land-border regions to achieve economic development.

Suggested Citation

  • Okabe, Misa, 2025. "Economic development of land-border regions under ASEAN economic integration," Journal of Asian Economics, Elsevier, vol. 96(C).
    • Handle: RePEc:eee:asieco:v:96:y:2025:i:c:s1049007824001593
    DOI: 10.1016/j.asieco.2024.101864
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    References listed on IDEAS

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    More about this item

    Keywords

    ASEAN; Trade liberalisation; Land-border region; Regional disparities; Nighttime light density;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F63 - International Economics - - Economic Impacts of Globalization - - - Economic Development
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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