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Regional Cooperation, Infrastructure, and Trade Costs in Asia

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  • Douglas H. Brooks
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    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.

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    Paper provided by eSocialSciences in its series Working Papers with number id:3090.

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    Date of creation: Oct 2010
    Handle: RePEc:ess:wpaper:id:3090
    Note: Institutional Papers
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    1. 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.
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    3. Berthelon, Matias & Freund, Caroline, 2004. "On the conservation of distance in international trade," Policy Research Working Paper Series 3293, The World Bank.
    4. David Hummels & Alexandre Skiba, 2002. "Shipping the Good Apples Out? An Empirical Confirmation of the Alchian-Allen Conjecture," NBER Working Papers 9023, National Bureau of Economic Research, Inc.
    5. Hummels, David, 2001. "Time as a Trade Barrier," GTAP Working Papers 1152, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University.
    6. 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.
    7. 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.
    8. 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.
    9. Maur, Jean-Christophe, 2008. "Regionalism and trade facilitation : a primer," Policy Research Working Paper Series 4464, The World Bank.
    10. 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.
    11. Prabir De, 2008. "Empirical Estimates of Trade Costs for Asia," Chapters, in: Infrastructure and Trade in Asia, chapter 5 Edward Elgar Publishing.
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