| Since 1990s, with the rapid development of regional economic integration trend and the variation of Asian economy, all the countries became more concerned to regional economic integration. After Malaysia Prime Minister proposed to set up "the forum of East-Asia economic core"(including ASEAN ,China,Japan and South Korea)in 1990, East-Asia steps to have an integration. China brought forward the notion of establishing the China-ASEAN Free Trade Area (CAFTA) in the November of 2001, and on the 4th, November 2002, the Framework Agreement on China-ASEAN Comprehensive Economic Co-operation was signed by China and ASEAN, including the start-up of building CAFTA. This is the historic breakthrough of East-Asia economic cooperation. The Framework Agreement on China-ASEAN Comprehensive Economic Co-operation which was signed confirms the aim,scope,step and time-table, and designs the Framework Agreement on China-ASEAN Comprehensive Economic Co-operation Area. During the course of CAFTA, China and ASEAN will face a series of challenges, but it is believed that the common interests will conquer those differences, and the cooperative opportunities will overrun the challenges. It is true that the setup of CAFTA will materially and deeply affects the future development of China,ASEAN , Asian and Pacific areas and so much the world economy and politics as well.The thesis adopts the methods of comparative analysis, pragmatic analysis, canonical analysis, and equilibrium analysis. Comparative analysis involves two aspects: one is to compare CAFTA with ASEAN, APEC, America FTA and EU; the other is to compare all kinds of data from different countries, markets, products and so on. Pragmatic analysis is based on materials collected to demonstrate relative theories and conclusion, such as the model of CAFTA. Canonical analysis mainly discusses the effects of the Framework Agreement on China-ASEAN Comprehensive Economic Co-operation Area according to theories about economic integration. Equilibrium analysis goes through the whole thesis, such as the pragmatic analysis of the economic integration and the effects after founding CAFTA. The thesis makes use of a lot of economic and trade data. Moreover, the thesis attaches importance to update the data, including the latest ones, to show the detailed analysis of effects about CAFTA.The earlier researchers mostly put emphasis on the reason of building CAFTA – the background about CAFTA. However, the thesis starts with the former research of CAFTA, and consists three parts.The first part is the theory foundation of the whole thesis. It introduces the theories and practices of regional economic integration, particularly analyses the theoretical mode of CAFTA.The theory of customs union is typically of the theory of regional economic integration. It analyses the static and dynamic effects. The static effects include trade creating effect and trade diverting effect; the dynamic effects include scale economic effect, competitive effect and others.Since customs union theory came into existence from the developed union such as EU, the later developing countries propose the theories that adapt to the developing countries. These kinds of economic integration theories are brought forward step by step, such as the theories of Indian economists and Argentinean economists. They believe that the developing countries should establish the integration based on the supplements of goods that decide the dependence from one country to another. After above the thesis builds the theory model of CAFTA. The aim of CAFTA which becomes the completely new attempt is to accelerate the trade and economy with regional economic cooperation for arranging and innovating the system. Since CAFTA has its own foundation and both markets whose scales are close are similar, the thesis takes the ASEAN as a whole part, and there is another part except China and ASEAN, therefore the thesis sets up a model of three parts instead of the whole world. The model analyses the theoretical effects of CAFTA. |
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