The Analysis Research On The Establishing Of The Game Theory Of China-South Korea Free Trade Area

With the rapid development of free trade, world economic regional integration has entered a new stage based on bilateral free trade and coordinated development of multi-level free trade since the1990s. The FTA (Free Trade Area) as the main symbol of regional integration on a global scale is continuously developing. China is also constantly pushing forward economic and trade cooperation with neighboring countries and regions and has a positive attitude to explore the relation with neighboring countries as the biggest developing country.2012is the year when China and South Korea have established diplomatic relations for20years. This paper focuses on establishing FTA in the relation of China and South Korea, which promote their economic cooperation, develops a friendly relationship and plays an important role in pushing economic integration in East Asia.According to the documents from which this paper quoted,.the FTA development of China and South Korea analyzes the influencing factors of the game in China and South Korea to establish FTA by adopting the combination of inductive and deductive analysis and does a research on relevant information and the reality. The article conducts precise quantitative analysis of the China and South Korea trade via the chart by using a combination of quantitative and qualitative analysis methods. Then it combines precise quantitative analysis of the China and South Korea trade. On the basis of it, it can be concluded that:First, South Korea’s foreign trade policy has obvious tendency of trade protection, which makes China and South Korea trade policy game easy to fall into the "prisoner’s dilemma"; Secondly, from the historical process of China and South Korea trade frictions game, China’s ability in handling with trade friction is constantly increasing, but on the whole Korea’s Game ability still significantly stronger than that of China, showing the main aspects of conflict in China and South Korea trade frictions; Thirdly, With the deepening of international economic exchanges, the game between China and South Korea trade friction the game will still continue. What is more, the competition between the two countries will go on in the international market and industry interests. Faced to this phenomenon, China must take measures to improve their game skills.