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Toward a US-Indonesia Free Trade Agreement


Toward a US-Indonesia Free Trade Agreement

Policy Analyses in International Economics 83

by Gary Clyde Hufbauer and
Sjamsu Rahardja


June 2007 • 214 pp. ISBN paper 978-0-88132-402-0 • $12.57

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Indonesia is the largest Muslim country in the world. Would a free trade agreement (FTA) with the country be beneficial both economically and politically to the United States? What kind of benefit could Indonesia expect? This book presents a case for improved trade relations between Indonesia and the United States and recommends advancing exploratory talks toward a US-Indonesia FTA. The authors present a detailed study of the stakes involved in the various areas of the proposed negotiation and estimate the FTA’s potential for trade creation, trade diversion, and welfare under different scenarios.

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Contents
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Preface

Acknowledgments

1. Introduction [pdf]

2. Natural Resources

3. Manufactures Trade

4. Labor and Environmental Issues in Indonesia

5. Government Procurement

6. Investment and Intellectual Property Rights [pdf]

7. Services Trade

8. Estimates from Gravity and Computable General Equilibrium Models
Dean DeRosa and John P. Gilbert

9. Conclusion [pdf]

Appendix A  Technical Aspects of the Gravity and Computable General Equilibrium Models

Glossary

References

Index