Achieving high productivity enables firms to participate in global value chains (GVCs), and their participation in GVCs in turn increases their productivity.
High labor productivity, a large firm size, foreign ownership, and high technological capability are important for a firm to participate in global value chains.
Trade liberalization has a positive impact on productivity.
International trade's impact on income inequality is mixed; governments need to promote human resource development and income redistribution.
The paper analyses the feasibility of constructing a region-wide FTA, or RCEP, in East Asia and examines ways to multilateralize the RCEP.
Promoting the development and internationalization of SMEs can increase productivity and competitiveness for more inclusive economic growth.