Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/109593
Authors: 
Sheng, Yu
Tang, Hsiao Chink
Xu, Xinpeng
Year of Publication: 
2012
Series/Report no.: 
ADB Working Paper Series on Regional Economic Integration 99
Abstract: 
This paper uses an extended gravity model to shed light on the impact of the free trade area agreement between the Association of Southeast Asian Nations (ASEAN) and the People's Republic of China (PRC) on the members' trade flows and trade patterns. New determinants that capture the rising importance of global production sharing and intraregional trade in parts and components in East Asia are proposed. Results from the extended gravity model show that the free trade agreement leads to substantially higher bilateral trade between ASEAN and the PRC, more than what a conventional gravity model predicts. The increase is concentrated in the ASEAN countries with stronger industrial linkages with the PRC.
Subjects: 
ACFTA
gravity model
parts and components trade
JEL: 
F17
O53
Persistent Identifier of the first edition: 
Creative Commons License: 
http://creativecommons.org/licenses/by/3.0/igo
Document Type: 
Working Paper

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