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The relative significance of EPAs in Asia-Pacific

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  • Kawasaki, Kenichi

Abstract

This paper analyzes the relative significance of regional Economic Partnership Agreements (EPAs) in Asia-Pacific. The economy-wide impacts of tariff removals and reductions in non-tariff measures (NTMs) are estimated by using a Computable General Equilibrium (CGE) model of global trade. The Trans-Pacific Partnership (TPP) and Regional Comprehensive Economic Partnership (RCEP) are shown to complement each other rather than be competitors. The income gains of Asia-Pacific Economic Cooperation (APEC) economies as a whole account for 1.2% of regional GDP by the TPP, 2.1% by the RCEP, and 4.3% by the Free Trade Area of the Asia-Pacific (FTAAP). Meanwhile, larger economic benefits are expected from NTMs reductions in addition to tariff removals. It is thus essential to reform domestic markets in order to enjoy greater economic benefits from international EPAs.

Suggested Citation

  • Kawasaki, Kenichi, 2015. "The relative significance of EPAs in Asia-Pacific," Journal of Asian Economics, Elsevier, vol. 39(C), pages 19-30.
    • Handle: RePEc:eee:asieco:v:39:y:2015:i:c:p:19-30
    DOI: 10.1016/j.asieco.2015.05.001
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    Cited by:

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    2. Li, Minghao & Balistreri, Edward J. & Zhang, Wendong, 2020. "The U.S.–China trade war: Tariff data and general equilibrium analysis," Journal of Asian Economics, Elsevier, vol. 69(C).
    3. Timini, Jacopo & Conesa, Marina, 2019. "Chinese Exports and Non-Tariff Measures: Testing for Heterogeneous Effects at the Product Level," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 34(2), pages 327-345.
    4. Webb, Mike & Strutt, Anna & Walmsley, Terrie, 2019. "Regulatory harmonization in the ASEAN region: The effects of applying different types of non-tariff measures," Conference papers 333045, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    5. Kikuchi, Tomoo & Yanagida, Kensuke & Vo, Huong, 2018. "The effects of Mega-Regional Trade Agreements on Vietnam," Journal of Asian Economics, Elsevier, vol. 55(C), pages 4-19.
    6. Webb, Mike & Strutt, Anna & Gibson, John & Walmsley, Terrie, 2017. "Modelling the Impact of Non-Tariff Measures on Supply Chains in the Asia Pacific Region," Conference papers 332906, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    7. Biyik, Onur, 2021. "Japan-AfCFTA Integration Through Economic Impacts of Alternative EPA Scenarios: Examination of the GTAP 10A MRIO Database," Conference papers 333265, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    8. Kenichi Kawasaki & Badri G. Narayanan & Houssein Guimbard & Arata Kuno, 2019. "Analysis of the Role of Tariff Concessions in East Asia," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 13(2), pages 141-167, May.
    9. Lee, Hiro & Itakura, Ken, 2017. "Potential Costs of U.S. Withdrawal from the Trans-Pacific Partnership," Conference papers 332825, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    10. Lee, Hiro & Itakura, Ken, 2018. "The welfare and sectoral adjustment effects of mega-regional trade agreements on ASEAN countries," Journal of Asian Economics, Elsevier, vol. 55(C), pages 20-32.
    11. Lintunen, Julia, 2021. "An overview of China's regional trade agreements," BOFIT Policy Briefs 1/2021, Bank of Finland Institute for Emerging Economies (BOFIT).

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    More about this item

    Keywords

    TPP; RCEP; FTAAP; CGE model;
    All these keywords.

    JEL classification:

    • D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • F15 - International Economics - - Trade - - - Economic Integration
    • F17 - International Economics - - Trade - - - Trade Forecasting and Simulation

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