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A Game Model of Asia Pacific Economic Cooperation
Author(s) -
Jackson Tom
Publication year - 1992
Publication title -
asian economic journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.345
H-Index - 28
eISSN - 1467-8381
pISSN - 1351-3958
DOI - 10.1111/j.1467-8381.1992.tb00087.x
Subject(s) - asia pacific , economics , politics , game theory , international trade , economy , political science , international economics , microeconomics , law
This paper explores the evolution of Asia Pacific Economic Cooperation (APEC) from 1988, when Australia first proposed it, to the present day. The analysis follows the tradition of the game theory of international politics and utilizes a variant of the scenario bundle mehod of Reinhard Selten (1977). The model explains APEC as an informal process rather than a full blown international organization, and why ASEAN is the decisive player in Pacific cooperation. An analysis of historical events since the creation of APEC leads to the hypothesis that an OECD style organization, which Australia had originally hoped for, will not be established in the foreseeable future.