Free Trade Agreement Between Australia And Japan.

Question:

Describe about the Free Trade Agreement Between Australia And Japan.

Answer:

Introduction

The free trade area is identified as an agreement that encompasses a trade bloc where several countries sign a Free Trade Agreement (FTA). According to Silva (2008), the particular set of agreements involve a cooperation between the two regions to limit the trade barriers. The agreements also include the factors like import quotas and tariffs, increasing trade of goods and services between the two countries. The current study attempts to evaluate the Free Trade Agreement between Australia and Japan. It primarily focuses on the negative aspects of the agreements.

Distortion of resource allocation and administrative burden

The trade agreement is termed as ‘Japan-Australia Economic Partnership Agreement (JAEPA). Although the General Agreement on Tariffs and Trade (GATT) was developed to improve the economic balance between the developed and developing an economy, it executes certain negative aspects as well. It has been identified that distortion of the resource allocation will be maximised, due to the free trade agreement between the Australia and Japan.  The prime issues are related to the now- tariff barriers as the Japan’s Export committee are relatively complex (Capling, 2008). The multi-layered regulatory framework has already proved a deterrent for the Australian business trying to market in Japan.

Also, it has been observed that in the trade agreement between the Japan and the Australia, the JAEPA executes a growing concern regarding the administrative burden across the borders. The agreement with the Japan regarding the red meat has become critical for the long-term positioning fort Australia (www.abc.net.au, 2016). As a consequence, Australia strikes the free trade deal with Japan, and beef and horticultural industries secure significant concessions.

Criticism of free trade agreement

The support of the free trade agreements to the world trade liberalisation and the economic enhancement has been questioned. The World Trade Organisation (WTO) caution reflects that the net economic impact highly depends on the architecture of the internal parameters and the individual agreement. Capling (2008) suggested that the trade investment diversions might reduce the benefits of the trade agreement between Australia and Japan. Moreover, the overlapping trade rules can hamper the trade by enforcing extra expenditure on the potential participants. 

Employment issues

One of the major negative aspects of FTA is the jobless propensity. According to the details form Australian Trade Ministry, Japan has made a deep cut on the beef tariffs in the last year. It has been speculated that the drawback of the FTA directly affects the net economy of the both countries. Adding to this, the economic forces impede the job rates in Japan. Supporting this Siriwardana (2015) mentioned that the difficulties in Free Trade Agreement had minimised the “job creation measures” in different countries such as Korea, Colombia, etc. Hence, it could be depicted that the economic factor of FTA requites more improvement to get a real effect on the job market.

Conclusion

After analysing the study, it has been addressed that the underdeveloped countries attempt to cut the trade costs to achieve a price advantage. It has been observed that the union opposition, environmental damage, overlapping rules in the trade investment of Japan and Australia are negatively affected by the barriers of  Free Trade Agreement. Thus, it could be inferred that the negative aspects of FTA between Japan and Australia need to be modified for the future betterment of import and export business.

Reference:

Abbott hails free trade deal with Japan (2014) Available at: http://www.abc.net.au/news/2014-04-07/australia-japan-free-trade-deal/5372242 (Accessed: 19 August 2016).

Capling, A. (2008). Preferential trade agreements as instruments of foreign policy: An Australia–Japan free trade agreement and its implications for the Asia Pacific region. The Pacific Review, 21(1), pp. 7–43

Silva, L.S.d (2008) “A Macro Analysis of Japan-Australia Bilateral Trade Relations: Present Status and Future Trends”, The Otemon Journal of Australian Studies, vol. 34, pp. 37−54

Siriwardana, M. (2015) ‘Australia’s new free trade agreements with Japan and South Korea: Potential economic and environmental impacts’, Journal of Economic Integration, 30(4), pp. 616–643.

 

Calculate the price
Make an order in advance and get the best price
Pages (550 words)
$0.00
*Price with a welcome 15% discount applied.
Pro tip: If you want to save more money and pay the lowest price, you need to set a more extended deadline.
We know how difficult it is to be a student these days. That's why our prices are one of the most affordable on the market, and there are no hidden fees.

Instead, we offer bonuses, discounts, and free services to make your experience outstanding.
How it works
Receive a 100% original paper that will pass Turnitin from a top essay writing service
step 1
Upload your instructions
Fill out the order form and provide paper details. You can even attach screenshots or add additional instructions later. If something is not clear or missing, the writer will contact you for clarification.
Pro service tips
How to get the most out of your experience with Boom Grades
One writer throughout the entire course
If you like the writer, you can hire them again. Just copy & paste their ID on the order form ("Preferred Writer's ID" field). This way, your vocabulary will be uniform, and the writer will be aware of your needs.
The same paper from different writers
You can order essay or any other work from two different writers to choose the best one or give another version to a friend. This can be done through the add-on "Same paper from another writer."
Copy of sources used by the writer
Our college essay writers work with ScienceDirect and other databases. They can send you articles or materials used in PDF or through screenshots. Just tick the "Copy of sources" field on the order form.
Testimonials
See why 20k+ students have chosen us as their sole writing assistance provider
Check out the latest reviews and opinions submitted by real customers worldwide and make an informed decision.
english comp
Great paper and done before the deadline. Thank you
Customer 452509, June 15th, 2021
Classic English Literature
Absolutely LOVE the essay I received. I really appreciate it so much.
Customer 452529, October 25th, 2021
Literature
Absolutely LOVE having help especially from the person who wrote this last one. THANK YOU
Customer 452529, November 19th, 2021
Religious studies
I recommend this service they always help. I got an A in this project thanks.
Customer 452507, October 5th, 2021
English 101
perfect! thanks!
Customer 452543, December 1st, 2021
Public Health
Thank you so much !!
Customer 452589, November 28th, 2023
Classic English Literature
Awesome Job... you are the best!
Customer 452531, November 27th, 2021
world civilization
Thank you for the quick response
Customer 452509, June 27th, 2021
Classic English Literature
Great Work as Usual. Thank you . I received an A on the paper!
Customer 452531, November 9th, 2021
Medicine
Great content.
Customer 452549, February 8th, 2022
Gerontology
Thank you so much this looks great !!!!
Customer 452585, November 4th, 2023
Exercise Science
Thank you so much for your time.
Customer 452545, December 5th, 2021
11,595
Customer reviews in total
96%
Current satisfaction rate
3 pages
Average paper length
37%
Customers referred by a friend
OUR GIFT TO YOU
15% OFF your first order
Use a coupon FIRST15 and enjoy expert help with any task at the most affordable price.
Claim my 15% OFF Order in Chat