Skip to main content
SpringerLink
Log in
Book cover

The Belt and Road Initiative and the Global Economy pp 83–103Cite as

Palgrave Macmillan

Regional Integration, Trade and the Belt and Road Initiative

  • Chapter
  • First Online:

Abstract

This chapter analyses the relationship between regional integration, trade and the BRI and begins with an analysis of how regional integration can deepen economic development, international trade and globalization. A distinction is made between complementarities and competition and how they may promote or hinder trade. The difference between trade creation and trade diversion is explained. The importance of the relationship between trade and technological change and the ladder of comparative advantage are emphasized and revealed comparative advantages, and the relationship to market shares between different participating countries of BRI is explained. Diversification increases with the level of technological development. To facilitate global trade, various gaps in development have to be overcome before China’s global trade relationships can prosper.

This is a preview of subscription content, log in via an institution.

Chapter
USD   29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD   59.99
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD   79.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD   109.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Learn about institutional subscriptions

Bibliography

  • Armstrong, S. P. (2015). East and South Asia: Managing Difficult Bilateral Relations and Regional Integration Globally. Asian Economic Journal, 29(4), 303–324.

    Google Scholar 

  • Athukorala, P. (2009). The Rise of China and East Asian Export Performance: Is the Crowding-Out Fear Warranted? The World Economy, 32(2), 234–266.

    Article  Google Scholar 

  • Balassa, B. (1977). A Stages Approach to Comparative Advantage (World Bank Staff Working Papers No. 256). Washington, DC: World Bank.

    Google Scholar 

  • Balassa, B. (1978). Exports and Economic Growth: Further Evidence. Journal of Development Economics, 5, 181–189.

    Google Scholar 

  • Baliamoune, M. (2009). Openness, Growth, and Convergence in Africa: Evidence from 1980–1999 Data. Journal of African Development, 11(1), 109–126.

    Google Scholar 

  • Baliamoune-Lutz, M. (2011). Growth by Destination (Where You Export Matters): Trade with China and Growth in African Countries. African Development Review, 23(2), 202–218.

    Google Scholar 

  • Benkovskis, K., & Wörz, J. (2016). Non-Price Competitiveness of Exports from Emerging Countries. Empirical Economics, 51(2), 707–735.

    Google Scholar 

  • Bergmann, L. (2011). A Co-evolutionary Approach to the Capitalist Space Economy. Environment and Planning A, 44, 518–537.

    Article  Google Scholar 

  • Boschma, R., & Frenken, K. (2006). Why Is Economic Geography Not an Evolutionary Science? Towards an Evolutionary Economic Geography. Journal of Economic Geography, 6(3), 273–302.

    Article  Google Scholar 

  • Chemingui, M. A., & Bchir, M. H. (2010). The Future of African Trade with China under Alternative Trade Liberalization Schemes. African Development Review, 22(s1), 562–576.

    Google Scholar 

  • Cheung, Y.-W., & Qian, X. (2009). Empirics of China’s outward direct investment. Pacific Economic Review, 14(3), 312–341.

    Google Scholar 

  • Cleridis, S., Lach, S., & Tybout, J. (1998). Is Learning by Exporting Important? Micro-Dynamic Evidence from Columbia, Mexico, and Morocco. Quarterly Journal of Economics, 113(3), 903–947.

    Google Scholar 

  • Drucker, P. F. (2002). Managing in the Next Society. New York: St. Martin’s Press.

    Google Scholar 

  • Economic Outlook. (2008, October). Changing Patterns of Global Wealth, Oxford Economics (pp. 19–31). Blackwell Publishing.

    Google Scholar 

  • Fiorentino, R. V., Verdeja, L., & Toqueboeuf, C. (2007). The Changing Landscape of Regional Trade Agreements: 2006 Update (Discussion Paper No. 12). Geneva: World Trade Organization.

    Google Scholar 

  • Frankel, J., & Romer, D. (1999). Does Trade Cause Growth? American Economic Review, 89(3), 379–399.

    Google Scholar 

  • George, J., & Kumar, S. V. A. (2017). ‘Going Global’: The Case of Chinese Brands. The IUP Journal of Business Strategy, XIV(3), 41–57.

    Google Scholar 

  • Giang, B. T., & Thanh, V. T. (2007). Approach to Development Gaps in ASEAN: A Vietnamese Perspective. ASEAN Economic Bulletin, 24(1), 164–180.

    Google Scholar 

  • Haddad, M. (2007). Trade Integration in East Asia: The Role of China and Production Networks (World Bank Policy Research Working Paper No. 4160). Washington, DC: World Bank.

    Google Scholar 

  • Haddad, M., Lim, J. J., et al. (2013). Trade Openness Reduces Growth Volatility When Countries are Well Diversified. Canadian Journal of Economics, 46(2), 765–790.

    Google Scholar 

  • Hanson, G. H. (2012). The Rise of the Middle Kingdoms: Emerging Economies in Global Trade. Journal of Economic Perspectives, 26(2), 41–64.

    Google Scholar 

  • Kaplinsky, R., & Morris, M. (2008). Do the Asian Drivers Undermine Exports-Oriented Industrialisation in SSA? World Development, 36(2), 254–273.

    Article  Google Scholar 

  • Kehoe, T. J., & Ruhl, K. J. (2013). How Important is the New Goods Margin in International Trade? (Staff Report No. 324). Research Department, Federal Reserve Bank of Minneapolis.

    Google Scholar 

  • Kong, Y. E., & Kneller, R. (2016). Measuring the Impact of China’s Export Growth on Its Asian Neighbours. The World Economy, 39(2), 195–220.

    Google Scholar 

  • Krugman, P. (1980). Scale Economies, Product Differentiation, and the Pattern of Trade. American Economic Review, 70(5), 950–959.

    Google Scholar 

  • Kuznets, S. (1955). Economic Growth and Income Inequality. American Economic Review, 45(1), 1–28.

    Google Scholar 

  • Leamer, E. (1995). The Heckscher-Ohlin Model in Theory and Practice. Princeton, NJ: Princeton University, Department of Economics.

    Google Scholar 

  • Maswana, J.-C. (2009). Can China Trigger Economic Growth in Africa? Chinese Economy, 42(2), 91–105.

    Google Scholar 

  • New Zealand Ministry of Foreign Affairs and Trade. (2008). Key Outcomes: New Zealand-China Free Trade Agreement. Available at http://www.china.fta.govt.nz.

  • Policardo, L., Punzo, L. F., & Sanchez Carrera, E. J. (2016). Brazil and China: Two Routes of Economic Development? Review of Development Economics, 20(3), 651–669.

    Google Scholar 

  • Reddy, A. A. (2016). Food Security Indicators in India Compared to Similar Countries. Current Science, 111(4), 632–640.

    Article  Google Scholar 

  • Rodrik, D. (2000). How Far Will International Economic Integration Go? Journal of Economic Perspectives, 14(1), 177–186.

    Google Scholar 

  • Roland-Holst, D., & Weiss, J. (2005). People’s Republic of China and Its Neighbours Evidence on Regional Trade and Investment. Asian Pacific Economic Literature, 19(2), 18–35.

    Google Scholar 

  • Samuelson, P. A. (1948, June). International Trade and the Equalisation of Factor Prices. Economic Journal, 58, 163–184.

    Google Scholar 

  • Sarkar, P., & Singer, H. W. (1991). Manufactured Exports of Developing Countries and Their Terms of Trade Since 1965. World Development, 19(4), 333–340.

    Article  Google Scholar 

  • Sen, A. (1981). Poverty and Famines: An Essay on Entitlement and Deprivation. London: Oxford University Press.

    Google Scholar 

  • Sen, A. (1999). Development as Freedom. New York: Knopf Press.

    Google Scholar 

  • Sen, A., & Anaud, S. (2000). Human Development and Economic Sustainability. World Development, 28(12), 2029–2049.

    Google Scholar 

  • Shi, W. (2008). Rubber Boom in Luang Namtha: A Transnational Perspective, Rural Development in Mountainous Areas of Northern Lao PDR (RDMA) GTZ. Vientiane.

    Google Scholar 

  • Smith, A. (1999/1776). The Wealth of Nations, Book I–III. London: Penguin Books.

    Google Scholar 

  • Stolper, W., & Samuelson, P. A. (1941). Protection and Real Wages. Review of Economic Studies, 9(1), 58–73.

    Google Scholar 

  • Sun, H. (2014). China-Venezuelan Oil Cooperation Model. Perspectives on Global Development and Technology, 13(5–6), 648–669.

    Google Scholar 

  • Suvannaphakdy, S., & Toyoda, T. (2014). Impact of Regional Trade Agreements in East Asia on Members’ Trade Flows. Journal of Southeast Asian Economics, 31(3), 361–378.

    Article  Google Scholar 

  • Tran, V. H. (2010). Impact of the WTO Membership, Regional Economic Integration, and Structural Change on China’s Trade and Growth. Review of Development Economics, 14(3), 577–591.

    Google Scholar 

  • Viner, J. (1950). The Custom Union Issues. New York, NY: Carnegie Endowment for International Peace.

    Google Scholar 

  • Wagner, J. (2007). Exports and Productivity: A Survey of the Evidence from Firm-Level Data. The World Economy, 30(1), 60–82.

    Article  Google Scholar 

  • Wang, J. Y. (2011). China and East Asian Regionalism. European Law Journal, 17(5), 611–629.

    Article  Google Scholar 

  • Wood, A. (1995). How Trade Hurt Unskilled Workers. Journal of Economic Perspectives, 9(3), 57–80.

    Google Scholar 

  • Wood, A. (1998). Globalisation and the Rise in Labour Market Inequalities. The Economic Journal, 108(450), 1463–1482.

    Google Scholar 

  • Yang, Y., & Mallick, S. K. (2010). Export Premium, Self-Selection and Learning-by-Exporting: Evidence from Chinese Matched Firms. World Economy, 33(10), 1218–1240.

    Google Scholar 

Download references

Author information

Authors and Affiliations

  1. Shui Mu Shan Cheng, Fushun, Liaoning, China

    John Joshua

Authors
  1. John Joshua
    View author publications

    You can also search for this author in PubMed Google Scholar

Corresponding author

Correspondence to John Joshua .

Rights and permissions

Reprints and permissions

Copyright information

© 2019 The Author(s)

About this chapter

Check for updates. Verify currency and authenticity via CrossMark

Cite this chapter

Joshua, J. (2019). Regional Integration, Trade and the Belt and Road Initiative. In: The Belt and Road Initiative and the Global Economy. Palgrave Macmillan, Cham. https://doi.org/10.1007/978-3-030-28030-7_4

Download citation

  • DOI: https://doi.org/10.1007/978-3-030-28030-7_4

  • Published:

  • Publisher Name: Palgrave Macmillan, Cham

  • Print ISBN: 978-3-030-28029-1

  • Online ISBN: 978-3-030-28030-7

  • eBook Packages: Economics and FinanceEconomics and Finance (R0)

Publish with us

Policies and ethics

Search

Navigation