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East Asian Economic Integration and its Impact on Future Growth

  • Philippa Dee

Two propositions appear to be gaining wide currency, given the revealed preference for preferential trade agreements (PTAs) in the East Asian region and elsewhere. The first is that economic integration is a good way to promote economic growth. The second is that PTAs, particularly ones that go beyond goods trade, are an effective way to promote economic integration. Yet both propositions are empirical questions. In this paper, a partial evaluation of the evidence suggests caution is called for. Current PTAs appear to be doing little to remove the important impediments to growth in the region. Far greater income gains would come from comprehensive reform of nondiscriminatory impediments to competition, as part of a thorough-going program of unilateral domestic regulatory reform. It may be time to rethink East Asian economic integration as a policy priority, or at least review the way in which it might be pursued.

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File URL: https://crawford.anu.edu.au/pdf/pep/pep-350.pdf
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Paper provided by Australia-Japan Research Centre, Crawford School of Public Policy, The Australian National University in its series Asia Pacific Economic Papers with number 350.

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Length: 20 pages
Date of creation: 2005
Date of revision:
Handle: RePEc:csg:ajrcau:350
Contact details of provider: Postal: Canberra ACT 2601
Phone: (61-2) 6249 3780
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Web page: https://crawford.anu.edu.au/research_units/ajrc/Email:


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  1. Dollar, David & Micco, Alejandro & Clark, Ximena, 2002. "Maritime transport costs and port efficiency," Policy Research Working Paper Series 2781, The World Bank.
  2. Arief Ramayandi, 2005. "ASEAN Monetary Cooperation: Issues and Prospects," Asia Pacific Economic Papers 349, Australia-Japan Research Centre, Crawford School of Public Policy, The Australian National University.
  3. David Vanzetti & Greg McGuire & Prabowo, 2005. "Trade Policy at the Crossroads: The Indonesian Story," Asia Pacific Economic Papers 347, Australia-Japan Research Centre, Crawford School of Public Policy, The Australian National University.
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