The ASEAN Free Trade Agreement (AFTA) was set up in 1993 and has already shown significant effects by 2010. This study empirically investigates the effect of trade creation on intra-ASEAN trade for the period of 1986 to 2010. Using the gravity model, we find that major determinants of bilateral trade in ASEAN are GDP, population, relative endowment, distance and common border. A dummy variable ...

The overlapping free trade area (FTA), as one prominent phenomenon in the development of FTA after the 1990s, has influenced the multilateral trade system (MTS) greatly. This article has proved that the special advantages of spoke countries can bring about cohesive effect on the industries through adopting the analytical method of infinitely repeated game, and the spoke countries will face a di...

This paper studies the e¤ect of foreign lobbies on trade policy of a country which is a member of a Free Trade Agreement (FTA). It uses a monopolistically competitive political economy model in which the government determines external tari¤s endogenously. The e¤ect of foreign lobbying under the FTA is examined empirically using Canadian industry-level trade data that allow di¤erentiating of lob...