Does the use of multiple FTAs force firms to raise local input share?: evidence of the spaghetti bowl phenomenon
Kazunobu Hayakawa ()
No 364, IDE Discussion Papers from Institute of Developing Economies, Japan External Trade Organization(JETRO)
This paper empirically investigates the firm-level relationship between the local input share and the number of used FTAs by employing the data on FTA utilization in Japanese affiliates in ASEAN. As a result, we do not find a robust linear relationship. However, affiliates using a large number of FTAs (seven or eight) have an extremely higher share of local inputs. This result might be interpreted as the first evidence of the “spaghetti bowl phenomenon”.
Keywords: Southeast Asia; International trade; FTA; International economic integration; Spaghetti bowl phenomenon (search for similar items in EconPapers)
JEL-codes: F15 F53 O53 (search for similar items in EconPapers)
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Published in IDE Discussion Paper = IDE Discussion Paper, No. 364. 2012-08-01
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Journal Article: Does the use of multiple FTAs force firms to raise local input share?: Evidence of the spaghetti bowl phenomenon (2013)
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