The IA-CEPA and sector adjustments: A specific-factors model of production

Hugo Toledo

International Review of Economics & Finance, 2017, vol. 48, issue C, 201-211

Abstract: The Indonesia-Australia Comprehensive Economic Partnership Agreement (IA-CEPA), is expected to increase trade flows between the two largest economies in the region potentially benefiting 280 million consumers. With highest level of trade, changes in output and payment to factors of production can be anticipated. We use the Specific Factors model of production to estimate the magnitude of these changes and results show substantial adjustments. The attempt to better integrate both economies through the IA-CEPA, could have important implications for employment, especially for Australia.

Keywords: Indonesia; Australia; IA-CEPA; wages; output; Specific factors model (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1059056016302829
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:reveco:v:48:y:2017:i:c:p:201-211

DOI: 10.1016/j.iref.2016.11.006

Access Statistics for this article

International Review of Economics & Finance is currently edited by H. Beladi and C. Chen

More articles in International Review of Economics & Finance from Elsevier
Bibliographic data for series maintained by Catherine Liu ().