... Equilibrium (CGE) model developed by Li et al. (2017) to simulate the effect of RCEP. The CGE model is grounded in the firm heterogeneity theory. Within this framework, the feature of dynamic movements of firms allows the CGE model to capture the extensive margin of trade increase. Aside from...

... CGE simulation to five groups of 140 countries. Findings – The authors find that welfare increases in Korea to join the TPP regardless the size of the TPP through productivity improvement of participating firms and increases in the number of exporting firms, factor prices and outputs...