Analysis On The Motivation And Economic Influences Of South Korea's RCEP Participation

Since RCEP was initiated by the ASEAN,South Korea,actively involved as one of the most important promoters,has shown concern and active participation in the ensuing rounds.In this paper,we explain the reasons why South Korea actively participates the RCEP negotiation,which are both internal and external,and then we use the GTAP model to study the influences of RCEP participation on Korea's overall economy,import-export trade and important industrial sectors.Through the research,we can not only explain the motivation of South Korea to join RCEP actively,but also can judge the concern of Korea in RCEP.at the same time,we can also provide evidences for the division of labor after RCEP is established.Based on the progressiveness and inclusiveness of RCEP negotiation,simulating two opposite situations for South Korea with GTAP model,we can get the output data of GDP,international trade welfare,terms of trade and import-export and output changes.The following conclusions can be drawn: Firstly,South Korea actively join RCEP,not only for its own export-oriented economics,but also for RCEP's progressiveness and inclusiveness;Secondly,joining RCEP can promote South Korea's GDP,foreign trade,international trade benefits and foreign investment.South Korea's heavy industry,transportation equipment,service industries and other advantages of the industry will develop greatly,but light industry and agriculture will be affected;The development of space;Thirdly,South Korea will focus on the protection of agriculture in the next ensuing negotiations;Finally,after the establishment of RCEP,the economies of various countries will be gradually merged,and the international division of labor refined.South Korea's heavy industry,transportation equipment and services and other advantages of the industry will have more room for development.