The economic impact of the Australia-United States free trade agreement

Shiro Armstrong

EABER Working Papers from East Asian Bureau of Economic Research

Abstract: The Australia–United States free trade agreement (AUSFTA) came into effect in 2005. It was the second preferential trade agreement that Australia signed, after its agreement with Singapore, and marked a departure from the primacy of Australia’s previous trade policy of unilateral and multilateral trade liberalisation towards preferential liberalisation. This paper assesses the economic effects of AUSFTA by applying the Productivity Commission’s gravity model of trade from its Bilateral and Regional Trade Agreements review. The evidence reveals AUSFTA resulted in a fall in Australian and US trade with the rest of the world — that the agreement led to trade diversion. Estimates also show that AUSFTA is associated with a reduction in trade between Australia and the United States.

Keywords: Trade Liberalisation; AUSFTA; preferential trade agreements (search for similar items in EconPapers)
JEL-codes: F13 F14 (search for similar items in EconPapers)
Date: 2015-02
New Economics Papers: this item is included in nep-int and nep-sea
References: Add references at CitEc
Citations: View citations in EconPapers (7)

Downloads: (external link)
http://www.eaber.org/node/24667 (application/pdf)
Our link check indicates that this URL is bad, the error code is: 301 [REDIRECT LOOP] Moved Permanently (http://www.eaber.org/node/24667 [301 Moved Permanently]--> https://www.eaber.org/node/24667 [301 Moved Permanently]--> https://www.eaber.org/node/24667 [301 Moved Permanently]--> https://www.eaber.org/node/24667 [301 Moved Permanently]--> https://www.eaber.org/node/24667 [301 Moved Permanently]--> https://www.eaber.org/node/24667 [301 Moved Permanently]--> https://www.eaber.org/node/24667 [301 Moved Permanently]--> https://www.eaber.org/node/24667)

Related works:
Working Paper: The economic impact of the Australia-United States free trade agreement (2015)
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:eab:wpaper:24667

Access Statistics for this paper

More papers in EABER Working Papers from East Asian Bureau of Economic Research Contact information at EDIRC.
Bibliographic data for series maintained by Shiro Armstrong ().