Trade Creation and Trade Diversion Effects of ASEAN-Japan Comprehensive Economic Partnership (AJCEP)
This paper examines the impact of the ASEAN-Japan Comprehensive Economic Partnership (AJCEP) on import by studying both the trade creation and trade diversion effect. The standard gravity model is augmented and tested on a sample of 36 countries based on aggregated data from 2000 to 2015. To obtain consistent and efficient estimation results, unobserved multilateral resistance terms will be addres