IDEAS home Printed from https://ideas.repec.org/p/nbr/nberwo/26877.html
   My bibliography  Save this paper

Comparing Alternative China and US Arrangements with CPTPP

Author

Listed:
  • Chunding Li
  • Xin Lin
  • John Whalley

Abstract

This paper builds a 29-country numerical general equilibrium model with inside money and trade cost to simulate and compare the effects of China and the US taking part in the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP), which is a high standard mega regional trade agreement. Comparison results show that China will benefit CPTPP member countries more than the US on trade, GDP, and manufacturing employment. China’s entering the CPTPP can also benefit most non-member countries on GDP and manufacturing employment. By joining, the US will benefit the whole world more, as the US economic scale is larger than that of China. Our simulation results reveal that China will be more welcomed to the CPTPP by member countries.

Suggested Citation

  • Chunding Li & Xin Lin & John Whalley, 2020. "Comparing Alternative China and US Arrangements with CPTPP," NBER Working Papers 26877, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:26877
    Note: ITI
    as

    Download full text from publisher

    File URL: http://www.nber.org/papers/w26877.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Peter A. Petri & Michael G. Plummer, 2016. "The Economic Effects of the Trans-Pacific Partnership: New Estimates," Working Paper Series WP16-2, Peterson Institute for International Economics.
    2. Zhai, Fan, 2008. "Armington Meets Melitz: Introducing Firm Heterogeneity in a Global CGE Model of Trade," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 23, pages 575-604.
    3. Guijun Lin & Jiansuo Pei & Jin Zhang, 2018. "Strategic competition in the Asian mega‐regionalism and optimal choices," The World Economy, Wiley Blackwell, vol. 41(8), pages 2102-2128, August.
    4. Dennis Novy, 2013. "Gravity Redux: Measuring International Trade Costs With Panel Data," Economic Inquiry, Western Economic Association International, vol. 51(1), pages 101-121, January.
    5. Todsadee Areerat & Hiroshi Kameyama & Shoichi Ito & Koh-en Yamauchi, 2012. "Trans Pacific Stategic Economic Partnership With Japan, South Korea and China Integrate: General Equilibrium Approach," American Journal of Economics and Business Administration, Science Publications, vol. 4(1), pages 40-46, January.
    6. Sanchita Basu Das, 2015. "The Regional Comprehensive Economic Partnership: new paradigm or old wine in a new bottle?," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 29(2), pages 68-84, November.
    7. Shoven,John B. & Whalley,John, 1992. "Applying General Equilibrium," Cambridge Books, Cambridge University Press, number 9780521266550, November.
    8. Robert Scollay & John Gilbert, 2000. "Measuring the Gains from APEC Trade Liberalisation: An Overview of CGE Assessments," The World Economy, Wiley Blackwell, vol. 23(2), pages 175-197, February.
    9. Muhammad Aamir Khan & Naseeb Zada & Kakali Mukhopadhyay, 2018. "Economic implications of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) on Pakistan: a CGE approach," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 7(1), pages 1-20, December.
    10. Li, Chunding & Wang, Jing & Whalley, John, 2016. "Impact of mega trade deals on China: A computational general equilibrium analysis," Economic Modelling, Elsevier, vol. 57(C), pages 13-25.
    11. John Gilbert & Taiji Furusawa & Robert Scollay, 2018. "The economic impact of the Trans†Pacific Partnership: What have we learned from CGE simulation?," The World Economy, Wiley Blackwell, vol. 41(3), pages 831-865, March.
    12. Shujiro Urata, 2016. "Mega-FTAs and the WTO: Competing or Complementary?," International Economic Journal, Taylor & Francis Journals, vol. 30(2), pages 231-242, June.
    13. Aggarwal, Vinod K & Evenett, Simon, 2013. "A Fragmenting Global Economy: A Weakened WTO, Mega FTAs, and Murky Protectionism," CEPR Discussion Papers 9781, C.E.P.R. Discussion Papers.
    14. Jean, Sébastien & Mulder, Nanno & Ramos, María Priscila, 2014. "A general equilibrium, ex-post evaluation of the EU–Chile Free Trade Agreement," Economic Modelling, Elsevier, vol. 41(C), pages 33-45.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Farooq, Abdul Samad & Zhang, Peng & Gao, Yongfeng & Gulfam, Raza, 2021. "Emerging radiative materials and prospective applications of radiative sky cooling - A review," Renewable and Sustainable Energy Reviews, Elsevier, vol. 144(C).
    2. Lintunen, Julia, 2021. "An overview of China's regional trade agreements," BOFIT Policy Briefs 1/2021, Bank of Finland Institute for Emerging Economies (BOFIT).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chuantian He & Chunding Li & John Whalley, 2018. "General equilibrium trade modelling with Canada–US transportation costs," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 27(7), pages 806-829, October.
    2. 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.
    3. Chunding Li & Xin Lin & John Whalley, 2024. "Comparing alternative China and the US arrangements with CPTPP," The World Economy, Wiley Blackwell, vol. 47(6), pages 2706-2740, June.
    4. Li, Chunding & Wang, Jing & Whalley, John, 2016. "Impact of mega trade deals on China: A computational general equilibrium analysis," Economic Modelling, Elsevier, vol. 57(C), pages 13-25.
    5. Chunding Li & John Whalley, 2021. "Effects of the comprehensive and progressive agreement for trans‐pacific partnership," The World Economy, Wiley Blackwell, vol. 44(5), pages 1312-1337, May.
    6. Chunding Li & John Whalley & Chuantian He & Chuangwei Lin, 2021. "The 2008 Financial Crisis and the Lack of Retaliatory Trade Intervention," CESifo Economic Studies, CESifo Group, vol. 67(1), pages 78-105.
    7. Jean-Christophe Bureau & Sébastien Jean, 2013. "International Agricultural Trade and Negotiations : Coping with a New Landscape [Commerce et négociations agricoles commerciales: s'ajuster au nouvel environnement]," Working Papers hal-01592099, HAL.
    8. repec:ner:leuven:urn:hdl:123456789/284359 is not listed on IDEAS
    9. 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.
    10. Li, Qiaomin & Scollay, Robert & Gilbert, John, 2017. "Analyzing the effects of the Regional Comprehensive Economic Partnership on FDI in a CGE framework with firm heterogeneity," Economic Modelling, Elsevier, vol. 67(C), pages 409-420.
    11. Mario Larch & Yoto V. Yotov, 2016. "General Equilibrium Trade Policy Analysis with Structural Gravity," CESifo Working Paper Series 6020, CESifo.
    12. Kenneth W. Clements & Marc Jim M. Mariano & George Verikios, 2021. "Foreign-domestic substitution, import penetration and CGE modelling," Applied Economics, Taylor & Francis Journals, vol. 53(35), pages 4080-4099, July.
    13. Kawai, Masahiro & Zhai, Fan, 2009. "China-Japan-United States integration amid global rebalancing: A computable general equilibrium analysis," Journal of Asian Economics, Elsevier, vol. 20(6), pages 688-699, November.
    14. María C. Latorre, 2009. "The economic analysis of multinationals and foreign direct investment: a review," Hacienda Pública Española / Review of Public Economics, IEF, vol. 191(4), pages 97-126, December.
    15. Li, Chunding & Whalley, John, 2017. "How close is Asia already to being a trade bloc?," Journal of Comparative Economics, Elsevier, vol. 45(4), pages 847-864.
    16. Li, Chunding & Lin, Xin, 2021. "COVID-19 and trade: Simulated asymmetric loss," Journal of Asian Economics, Elsevier, vol. 75(C).
    17. Adnan Akram & Ejaz Ghani & Musleh Ud Din, 2020. "Strengthening Pakistan’s Trade Linkages: A Case Study of Regional Comprehensive Economic Partnership (RCEP)," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 59(3), pages 399-417.
    18. Ken Itakura & Hiro Lee, 2023. "Should the United States rejoin the Trans-Pacific trade deal?," International Economics and Economic Policy, Springer, vol. 20(2), pages 235-255, May.
    19. Erwin Corong & Thomas Hertel & Robert McDougall & Marinos Tsigas & Dominique van der Mensbrugghe, 2017. "The Standard GTAP Model, version 7," Journal of Global Economic Analysis, Center for Global Trade Analysis, Department of Agricultural Economics, Purdue University, vol. 2(1), pages 1-119, June.
    20. Dong, Yan & Li, Chunding, 2018. "Economic sanction games among the US, the EU and Russia: Payoffs and potential effects," Economic Modelling, Elsevier, vol. 73(C), pages 117-128.
    21. Tao Xiang & Jikun Huang & d’Artis Kancs & Scott Rozelle & Jo Swinnen, 2012. "Food Standards and Welfare: General Equilibrium Effects," Journal of Agricultural Economics, Wiley Blackwell, vol. 63(2), pages 223-244, June.

    More about this item

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • F47 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Forecasting and Simulation: Models and Applications
    • F53 - International Economics - - International Relations, National Security, and International Political Economy - - - International Agreements and Observance; International Organizations

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:26877. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/nberrus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.