The Research On The Trade Effect Of The CJKFTA

Under the background of economic globalization, the regional economic integration stepsat an increasing rate. The EU and NAFTA set up the model for the developed countries anddeveloping countries. As the world’s third largest economy in East Asia to seek greatereconomic benefits and economic development, regional economic cooperation is theinevitable trend. Economy accounts for about90%of the total the whole East Asia regionaleconomic, the population accounts for about74%of the total population of East Asia, ChinaJapan and South Korea, had CJKFTA on the agenda. The establishment of CJKFTA will formthe great business circle which GDP and trade volume accounted for20%of the world’s, isnot only beneficial to the development of economy in the three and promote the developmentof cooperation of east Asia and to the world economy has important significance.Based on the related research results on the CJKFTA at home and abroad and the theoryof comparative advantage and theory about FTA, the integrated use of macro analysis andmicro analysis, qualitative analysis and quantitative analysis combined with the method ofindex analysis, At first，analysis the feasibility of establish the CJKFTA, and then probes intothe construction of CJKFTA will produce the trade effect of static and dynamic effects, andusing the trade gravity model to build the trade effect of the CJKFTA has carried on theempirical test, finally putting forward some countermeasures and Suggestions contribute tothe completion of the CJKFTA.By studying the main conclusion is: although the establishment of CJKFTA hashampered by economic and political factors, will not happen overnight in the short term, but itdoes not mean that the impossible. the establishment of a FTA can not only for China, SouthKorea and Japan to reduce trade barriers in the process of trade, the volume of trade hassignificant growth, to a certain extent, promote the trade product structure optimization,inter-industry trade level improved, trade creation effect is obvious. At the same time,according to the results in the trade gravity model, signed free trade agreement could producesignificant trade expansion effect, China, South Korea and Japan but also has the geographicaladvantages, the formation of CJKFTA can boost from several aspects of economic and tradeexchanges.