Infrastructure And Investment Cooperation With The East Asian Economic Integration

The fund of infrastructure investment was always raised by governments. Along with the economic development and the improvement of the legal systems, however, some new funding channels of infrastructure investment have come into existence, such as BOT, ABS, and other PPP models. But at the same time, some new financial and political risks have also come into being. Recently, the economy of East Asia has been developing rapidly, and the East Asia economic integration has become a hotly-discussed topic. On the one hand, it is necessary to improve the infrastructure in East Asia in order to develop the economy and alleviate poverty in the region. On the other hand, the huge foreign exchange reserves and the high saving rate in this region can provide abundant funds for infrastructure investment.This thesis is intended to build an East Asia economic integration index IEI EA, which includes data of trade and FDI, and an East Asia infrastructure index Inc , which includes data of communication and transportation in the model. Through the VAR model, Granger causality test and Pulse function model, the author has reached a conclusion that infrastructure investment plays a positive role in promoting the East Asia economy integration, and the integration in turn enhances the infrastructure development in this region.