Economic Integration in East Asia

Economic Integration in East Asia

Perspectives from Spatial and Neoclassical Economics

Edited by Masahisa Fujita, Satoru Kumagai and Koji Nishikimi

Increasing numbers of free trade and economic partnership agreements have been concluded among many countries in East Asia, and economic integration has progressed rapidly on both a de facto and de jure basis. However, as the authors of this book argue, integration may intensify regional inequalities in East Asia and so this process has attracted much attention of late. Will it actually succeed in achieving greater economic growth or will it in fact cause growing regional disparity?

Preface

Edited by Masahisa Fujita, Satoru Kumagai and Koji Nishikimi

Subjects: asian studies, asian development, asian economics, development studies, development economics, economics and finance, asian economics, development economics, regional economics, geography, economic geography, urban and regional studies, regional economics

Extract

This book originated from the international joint research project on economic integration in East Asia conducted by the Institute of Developing Economies, Japan External Trade Organization, (IDE-JETRO), Chiba, Japan for the fiscal years 2005–06. Based on the perspectives of spatial and neoclassical economics, we examined the main economic forces working in the process of economic integration and tried to gain a clear view of the current progress and future prospects of East Asian integration. In East Asia, various infrastructures for trade and transportation have been rapidly developed in recent years. In the mainland part of Southeast Asia, for example, the Greater Mekong Subregion Economic Cooperation Program has been carried out in a framework of international cooperation on the initiative of the Asian Development Bank. In this program, 11 projects have been launched mainly for the purpose of development of road transportation, such as the East–West, North–South, and Southern economic corridors. The East–West economic corridor connects Danang in Vietnam, Savannakhet in Laos and Mawlamyine in Myanmar. The North–South corridor links Kunming in China to Hanoi in Vietnam and Chiang Rai in Thailand, and the Southern corridor connects Ho Chi Minh City in Vietnam, Phnom Penh in Cambodia and Bangkok in Thailand. These corridors will form a large highway network connecting many industrial zones in the Greater Mekong Subregion and are expected to promote economic integration by increasing international trade and investment in that area. Development of the logistic system in East Asia will bring about a...