Arbeitspapier

Quantifying the EU-Japan Economic Partnership Agreement

This paper provides a quantitative analysis of the new EU-Japan free trade agreement (FTA), the biggest bilateral deal that both the EU and Japan have concluded so far. It employs a generalized variant of the Eaton-Kortum (2002) model, featuring multiple sectors, input-output linkages, services trade, and non-tariff barriers (NTBs). It uses the results of an econometric ex-post analysis of a related FTA, the one between the EU and Korea, in force since 2011, to approximate the expected reductions in the costs of NTBs. This approach yields long-run welfare effects for Japan of about 18 bn. USD per year (0.31% of GDP) and of about 15 bn. USD (0.10%) for the EU. On average, the agreement does not appear to harm third countries, but the Americas, Africa and MENA countries slightly lose. 14% of the welfare gains inside the FTA stem from tariffs, the remaining 86% from NTB reform, and the services sector accounts for more than half. In the EU, value added in the agri-food sector goes up most, while in Japan the manufacturing and services sectors gain.

Sprache
Englisch

Erschienen in
Series: CESifo Working Paper ; No. 7241

Klassifikation
Wirtschaft
Economic Integration
Trade: Forecasting and Simulation
Economic History: Transport, Trade, Energy, Technology, and Other Services: Europe: 1913-
Thema
free trade agreements
general equilibrium
quantitative trade models
Japan
European Union

Ereignis
Geistige Schöpfung
(wer)
Felbermayr, Gabriel
Kimura, Fukunari
Okubo, Toshihiro
Steininger, Marina
Ereignis
Veröffentlichung
(wer)
Center for Economic Studies and ifo Institute (CESifo)
(wo)
Munich
(wann)
2018

Handle
Letzte Aktualisierung
29.04.0011, 11:41 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Felbermayr, Gabriel
  • Kimura, Fukunari
  • Okubo, Toshihiro
  • Steininger, Marina
  • Center for Economic Studies and ifo Institute (CESifo)

Entstanden

  • 2018

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