East Asian Economic Review

Capital Account Openness, Exchange Rate Flexibility and Exchange Rate Misalignment: Evidence from Developing Economies-Capital Account Openness, Exchange Rate Flexibility, Exchange Rate Misalignment, Panel Data Model

Institutions play a significant role in spurring a country's innovative activities.However, to the best of our knowledge, the relative importance of institutions in the innovationeconomic complexity link remains unexplored.This study examines the role of institutional quality in moderating the impact of innovation on economic complexity for 68 countries from 1996 to 2020.We employed various estim…

Causal Impacts of the 2014 Russia-Ukraine Conflict on Machinery and Pharmaceutical Trade: A Synthetic Control Analysis-Geopolitical Risk, Russia-Ukraine War, Sectoral Trade Analysis, Synthetic Control Method, Trade Disruption

This study explores the role of regional trade agreements (RTAs) in mitigating the negative effects of uncertainty on trade, focusing on their depth and differential impacts on global value chain (GVC) and traditional trade. By employing an augmented gravity model with data from 70 countries spanning 1995 to 2020, the analysis reveals that deep RTAs, incorporating WTO-plus and WTO-extra provision…

East Asia’s Regional Comprehensive Economic Partnership (RCEP) came into force in 2022 as the world’s largest free trade agreement. RCEP was concluded, signed and brought into force in the face of major international uncertainty and is a significant boost to the global trading system. RCEP brings Australia, China, Japan, South Korea and New Zealand into the same agreement with the ten member ASEA…

The Economics of Conflict and Cooperation in the Asia-Pacific: RCEP, CPTPP and the US-China Trade War-Computable General Equilibrium, Comprehensive and Progressive Agreement for Trans-Pacific Partnership, Free Trade Agreement, Regional Comprehensive Economic Partnership, Rules of Origin

The US-China trade war forced a reluctant semiconductor industry into someone else’s fight, a very different position from its leading role in the 1980s trade conflict with Japan. This paper describes how the political economy of the global semiconductor industry has evolved since the 1980s. That includes both a shift in the business model behind how semiconductors go from conception to a finishe…

A consequence of global trade liberalization is that domestic regulatory policies have become a focal point for efforts to reduce the costs of engaging in cross-border production and exchange. This article discusses the general challenges of reducing trade frictions created by regulatory differences, focusing specifically on the role trade agreements might play in addressing regulatory spillovers…

We assess the outcomes for the negotiating parties in the Trans-Pacific Partnership if the remaining eleven parties go ahead with the agreement as negotiated without the United States, as compared to the outcomes under the original twelve-member agreement signed in October 2016. We find that the eleven-party agreement, now renamed as the Comprehensive and Progressive Agreement for Trans-Pacific P…