Rights Asian Economic Papers. Copyright © MIT Press. United States, Japanese, and Korean FDI and Intra–East Asian Trade United States, Japanese, and Korean FDI and Intra–East Asian Trade*

This paper documents the growing importance of intra–East Asian trade of parts and components. Our empirical analysis shows that foreign direct investment (FDI) does play an important and independent role in facilitating the trade of parts and compo-nents in East Asia. This is true for FDI from all three source coun