THE PEER EFFECTS OF ASEAN COUNTRIES' TRADE WITH CHINA
Keywords:
Peer effects, ASEAN countries, Trade with ChinaAbstract
In order to address empirical difficulties in research examining peer effects in ASEAN countries, this study employs trade data between ASEAN members and China to scrutinize the influence of geographical, economic, political, and cultural peer effects on ASEAN-China trade. The key findings are as follows: (1) There are significant positive peer effects in the geographical features of ASEAN countries, while significant negative peer effects are observed in the dimensions of trade openness, governance quality, and citizen Voice. (2) When it comes to peer effects of ASEAN countries' export to China, they are less influenced by geographically adjacent countries but are significantly influenced by the governance quality of neighboring countries. The significance of peer effects among ASEAN countries has decreased after the signing of the upgraded agreement of the China-ASEAN Free Trade Area. (3) Dynamic spatial Durbin model regressions demonstrate significant peer effects in geographical, economic, political, and cultural characteristics of ASEAN countries' trade with China. From a spatiotemporal dimension, the influence of the previous period's trade with China in peer countries on the focal country's trade with China is less than the influence of the focal country's previous period's trade with China.References
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