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Regional Cooperation, Infrastructure, and Trade Costs in Asia


  • Douglas H. Brooks


International trade has played an essential role in Asia’s remarkable growth, development, and integration in recent decades. Infrastructure, both hard and soft, has played an integral part in facilitating that trade, primarily through reducing the associated transaction costs. Regional coordination and cooperation can help to reduce negative externalities from trade and to capitalize more fully on positive spillover effects. This study explores the nexus between Asia’s trade flows and patterns, trade costs and how they are influenced by infrastructure development, and the role of regional cooperation in facilitating trade’s contribution to economic integration. A virtuous circle between growth, infrastructure investment, trade expansion, and regional integration is elucidated.

Suggested Citation

  • Douglas H. Brooks, 2010. "Regional Cooperation, Infrastructure, and Trade Costs in Asia," Working Papers id:3090, eSocialSciences.
  • Handle: RePEc:ess:wpaper:id:3090
    Note: Institutional Papers

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    References listed on IDEAS

    1. David L. Hummels & Georg Schaur, 2013. "Time as a Trade Barrier," American Economic Review, American Economic Association, vol. 103(7), pages 2935-2959, December.
    2. Francois, Joseph & Manchin, Miriam, 2013. "Institutions, Infrastructure, and Trade," World Development, Elsevier, vol. 46(C), pages 165-175.
    3. Nordås, Hildegunn Kyvik & Piermartini, Roberta, 2004. "Infrastructure and trade," WTO Staff Working Papers ERSD-2004-04, World Trade Organization (WTO), Economic Research and Statistics Division.
    4. Christopher Edmonds & Manabu Fujimura, 2008. "Road Infrastructure and Regional Economic Integration: Evidence from the Mekong," Chapters,in: Infrastructure and Trade in Asia, chapter 7 Edward Elgar Publishing.
    5. Amiti, Mary & Smarzynska Javorcik, Beata, 2008. "Trade costs and location of foreign firms in China," Journal of Development Economics, Elsevier, vol. 85(1-2), pages 129-149, February.
    6. Berthelon, Matias & Freund, Caroline, 2008. "On the conservation of distance in international trade," Journal of International Economics, Elsevier, vol. 75(2), pages 310-320, July.
    7. David Hummels & Alexandre Skiba, 2004. "Shipping the Good Apples Out? An Empirical Confirmation of the Alchian-Allen Conjecture," Journal of Political Economy, University of Chicago Press, vol. 112(6), pages 1384-1402, December.
    8. Prabir De, 2008. "Empirical Estimates of Trade Costs for Asia," Chapters,in: Infrastructure and Trade in Asia, chapter 5 Edward Elgar Publishing.
    9. Maur, Jean-Christophe, 2008. "Regionalism and trade facilitation : a primer," Policy Research Working Paper Series 4464, The World Bank.
    10. Giuseppe Nicoletti & Steve Golub & Dana Hajkova & Daniel Mirza & Kwang-Yeol Yoo, 2003. "Policies and International Integration: Influences on Trade and Foreign Direct Investment," OECD Economics Department Working Papers 359, OECD Publishing.
    11. Jayant Menon & Peter Warr, 2008. "Roads and Poverty: A General Equilibrium Analysis for Lao PDR," Chapters,in: Infrastructure and Trade in Asia, chapter 6 Edward Elgar Publishing.
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    International trade; development; Regional coordination; cooperation; Asia; infrastructure investment; trade expansion;

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