International Journal of Social Science & Economic Research
Submit Paper

Title:
IMPACT OF INDIA ASEAN FTA ON WELFARE: A GTAP MODEL APPROACH

Authors:
Dr. Avijit Mandal

|| ||

Dr. Avijit Mandal
Assistant Professor, Department of Economics Maulana Azad College, Kolkata 8, Rafi Ahmed Kidwai Road Kolkata - 700013

MLA 8
Mandal, Dr. Avijit. "IMPACT OF INDIA ASEAN FTA ON WELFARE: A GTAP MODEL APPROACH." Int. j. of Social Science and Economic Research, vol. 3, no. 5, May 2018, pp. 2097-2118, ijsser.org/more2018.php?id=144. Accessed 2018.
APA
Mandal, D. (2018, May). IMPACT OF INDIA ASEAN FTA ON WELFARE: A GTAP MODEL APPROACH. Int. j. of Social Science and Economic Research, 3(5), 2097-2118. Retrieved from ijsser.org/more2018.php?id=144
Chicago
Mandal, Dr. Avijit. "IMPACT OF INDIA ASEAN FTA ON WELFARE: A GTAP MODEL APPROACH." Int. j. of Social Science and Economic Research 3, no. 5 (May 2018), 2097-2118. Accessed , 2018. ijsser.org/more2018.php?id=144.

References
[1]. Ahmed, S (2012): A Sectoral and Gender Implications for India-ASEAN FTA: A CGE Analysis for India, Centre for Development Studies.
[2]. Anderson, J.E. (1979): A Theoretical Foundation for the Gravity Equation, American Economic Review, 69, 106-16.
[3]. Bhattacharyya, R and A. Mandal (2014): Estimating the Impact of India ASEAN Free Trade Agreement on Indian Industries, South Asia Economic Journal, 15(1), 93-114.
[4]. Burniaux, J. and T. Truong (2002): GTAP-E: An Energy-Environmental Version of the GTAP Model, Center for Global Trade Analysis, Purdue University, GTAP Technical Paper No. 16.
[5]. Chandran, B. P.S. and Sudarsan, P. K. (2012): India-ASEAN Free Trade Agreement Implications for Fisheries, Economic and Political Weekly, 16, 65-70.
[6]. Dixit, A.K and V. Norman (1980): Theory of International Trade. Cambridge, Cambridge University Press.
[7]. Feenstra, R.C (2004), Advance International Trade: Theory and Evidence, Princeton University Press.
[8]. Ferrantino, M (1999): Modelling the Effects of Trade Liberalization on Forest Cover: Some Methodological Issues (online).
[9]. Francis, S. (2011): A Sectoral Impact Analysis of the ASEAN-India Free Trade Agreement, Economic and Political Weekly, 2, 46-55.
[10]. Francois, J. F. (1998): Scale Economies and Imperfect Competition in the GTAP Model, Centre for Global Trade Analysis, Purdue University, GTAP Technical Paper No. 14.
[11]. Grinols, E.L. and K. Wong (1991): An Exact Measure of Welfare Change, Canadian Journal of Economics, 24, 429-49.
[12]. Hertel, T.W. (1997): Global Trade Analysis Project: Modelling and Applications, Cambridge University Press.
[13]. Huff, K and T.W. Hertel (2001): Decomposing Welfare Changes in GTAP, Center for Global Trade Analysis, Purdue University, GTAP Technical Paper No. 5.
[14]. Joseph, K.J. and Parayil, G. (2004): India ASEAN Cooperation in Information and Communication Technologies: Issues and Prospects, Research and Information System for NonAligned and Other Developing Countries (RIS), New Delhi, Discussion Paper No. 70.
[15]. Ju, J and K. Krishna (2000): Evaluating Trade Reforms with many Consumers, Canadian Journal of Economics, 33, 787-798.
[16]. Karmakar, S. (2005): India ASEAN Cooperation in Services: An Overview, Indian Council for Research on International Economic Relation, Working Paper No. 176.
[17]. Kemp, M. C and H. Y. Wan Jr. (1976): An Elementary Proposition Concerning the Formation of Customs Union, Journal of International Economics, 6, 95-97.
[18]. Krishna, P and A. Panagariya (2002): On Necessarily Welfare Enhancing Free Trade Areas, Journal of International Economics, 57, 353-367.
[19]. Lipsey, R.G and K. Lancaster (2000): The General Theory of Second Best, Review of Economic Studies, 24, 11-32.
[20]. McDougall (2001): A New Regional Household Demand System for GTAP, Center for Global Trade Analysis, Purdue University, GTAP Technical Paper no. 20.
[21]. McDougall, R. and Golub, A. (2007): GTAP-E :A Revised Energy- Environmental Version of the GTAP Model, Center for Global Trade Analysis, Purdue University, GTAP Research Memorandum No. 15.
[22]. Mukhopadhyay, K, Thomassin P. J. And Chakraborty, D (2008): Impact of ASEAN+ 3 Trade Agreements on the South Asian Economy : An Analysis in GTAP framework, Foreign trade Review Quarterly Journal of Indian Institute OF Foreign Trade, XLIII, 1, 3-26.
[23]. Nag, B and Sikdar, C (2011): Welfare Implication of India-ASEAN FTA: An Analysis using GTAP Model, Working Paper No. EC-11-06, Indian Institute of Foreign Trade, New Delhi.
[24]. Nagoor, B. H. and Kumar, C.N. (2010): Assessing the Impact of the ASEAN-India FTA on the Tea Industry, Economic and Political Weekly, 44,112-116.
[25]. Nishiguchi, K (2002): "Regional Economic Cooperation in East Asia after the Crisis", Center for Japanese Research, University of British Colombia, Vancouver.
[26]. Pal, P. and Dasgupta, M. (2008): Does a Free Trade Agreement with ASEAN Make Sense?, Economic and Political Weekly. 46, 8-12.
[27]. Pal, P. and Dasgupta, M. (2009): The ASEAN India Free Trade Agreement: An Assessment, Economic and Political Weekly, 38, 11-15.
[28]. Strutt, A. and K. Anderson (1998): Will Trade Liberalization Harm the Environment? The Case of Indonesia in 2010 to 2020, Seminar Paper 98-04 (Center for Internaitonal Economics Studies, University of Adelaide, 1998).

Abstract:
India signed a Free Trade Agreement with ASEAN on 13 August 2009. The FTA has given rise to considerable interest among researchers over the last few years. In this paper, we analyze the likely impact of this FTA on member countries, especially on the Indian economy, in a general equilibrium framework. We used the Global Trade Analysis Project (GATP) as an analytical tool for calculating the welfare effect during various tariff liberalization stages. The study reveals that the FTA is expected to have a negative welfare impact for India but a positive welfare impact for ASEAN members. India's loss in welfare emerges mainly from the adverse terms of trade effect. ASEAN's welfare gain originates from the allocative efficiency gain and the terms of trade effect. ASEAN's welfare gain originates from the allocative efficiency gain and the terms of trade effect. However, for ASEAN major contribution on aggregate welfare comes from terms of trade effect.