Cost Reduction Effects of "pseudo FTAs" in Asia -Application of a price model based on a multilateral I/O table-
This paper examines the repercussion effects on the production cost of industries inAsian countries when some countries eliminate tariffs and import commodity taxeson all imports. This kind of analysis is related in some sense to that measuring theeffects of FTAs on economies, and thus may be considered as an analysis of “pseudoFTAs.” Examining a number of combinations of “pseudo FTAs” between China,Japan, and ASEAN, it is found that the case of China plus Japan plus ASEAN is themost effective “pseudo FTA” of the combinations in terms of production costreduction. The method is a form of price model based on the Asian InternationalInput-Output Table. Almost no studies on price models related to multilateral I/Otables have been implemented thus far.
|Date of creation:||01 Mar 2010|
|Publication status:||Published in IDE Discussion Paper = IDE Discussion Paper, No. 226. 2010-03-01|
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