Edited by Peter C.Y. Chow
Chapter 5: Trade complementarity and natural trading partners between the US and second round of TPP members
AbstractThe author compares the impacts of four prospective members – Indonesia, the Philippines, Taiwan, and Thailand – on the United States (US) economy by assessing their respective interdependency, trade complementarity with the United States, and relative contributions to the global value-added in US exports. He uses a computable general equilibrium (CGE) model to show that the Trans-Pacific Partnership (TPP)12 will benefit from Taiwan’s inclusion. He further analyzes the comparative advantage of US services trade and the potential opportunity for the United States to exploit those markets of these four perspective new members.
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