Output
1) Research Report
APEC Publication on Structural Reform for the Digital Age: Enhancing Productivity and Labor Mobility in the APEC Region (hereafter referred to as 'Research Report') consists of two parts: simulation analyses using an economic model (Computable General Equilibrium (CGE)) and case studies. The report will be published as an official APEC publication.
The CGE model is a quantitative analytical tool often used to analyze the effects of various policies, including trade, an aging population, productivity growth, and cross-border migration. CGE analysis relies on existing macro- and microeconomic datasets (e.g., input-output tables, labor force data, trade statistics) and well-established economic relationships to produce policy-relevant simulations. There is extensive literature on this subject; for example, Huang and Kuroda (2021) discuss innovation under demographic change, Merette and Georges (2009) focus on demographic change and globalization, Corong and Aguiar (2019) examine skilled labor migration in ASEAN, and Ko (2007) explores migration in Europe using the GTAP GMig2 model and the database augmented with bilateral migration data from the UN and the ILO, as well as remittance data from the World Bank. However, there is limited literature on these issues in the APEC context, making this project the first attempt to address the challenges faced by APEC economies.
This CGE analysis will primarily cover the economies included in the case studies plus APEC economies facing serious demographic challenges such as Japan, Korea, Chinese Taipei and China. This will allow for a more in- depth analysis of the specific challenges faced by individual economies while also identifying common regional issues.
The simulation analyses will present the economic effects of scenarios where productivity is improved by adopting technologies such as robots and AI. In particular, the CGE model will examine how productivity growth stemming from digital technology (ICT investment) affects output, wages, and resource reallocation across sectors under demographic changes. It will also analyze the effectiveness of policies for migrant workers, such as skill certification, mutual standards, recruiting international students to attract skilled and professional workers, and sectoral targeting for accepting low- to mid-skilled workers.
The case studies of selected APEC economies may cover Canada, Malaysia, Singapore, Chinese Taipei, Thailand, and United States (co- sponsoring economies). The case studies will include an overview of relevant policies in each economy, along with a literature survey of evidence-based research and statistical data. This part will complement simulation analyses by discussing policy approaches that promote upskilling and reskilling, as well as facilitate skilled labor mobility in areas such as labor migration frameworks, mutual recognition of skills, training programs, and student visa programs (specifically related to STEM degrees) to align with the changing workforce.
Research Report
Tentative Title: Structural Reform for the Digital Age: Enhancing Productivity and Labor Mobility in the APEC Region
A minimum of 80 pages, excluding annexes
Executive Summary (3–4 pages)
-Main messages
-High-level findings from simulations and case studies
-Core policy recommendations
Chapter 1: Introduction (5 pages)
-APEC context: structural reform, digitalization, aging populations
-Project objectives
Chapter 2: Research Scope and Methodology (6–8 pages)
-Overview of research design
-CGE model methodology and scenario design
-Case study economy selection and research methods
-Workshop overview and stakeholder engagement
Chapter 3: Findings from CGE Simulation Analyses (12–15 pages)
-Key assumptions and scenario settings
-Cross-economy simulation results
-Sectoral impacts and labor market adjustments
Chapter 4: Case Studies of APEC Economies (40–45 pages total; ~6–8 pages per economy)
-Case studies
-Analysis of specific challenges for women and how policies impact in the context of labor mobility, upskilling, and technological adaptation
-Comparative summary across case studies
Chapter 5: Policy Recommendations for APEC (6–8 pages)
-What works: synthesis of findings
-Regional cooperation opportunities (e.g., skill standards, student mobility, digital platforms)
-Strategic options for structural reform in labor and digital sectors
-Actionable items for APEC working groups and fora
Chapter 6: Conclusion (3–4 pages)
-Summary of evidence and relevance to APEC policy priorities
-Suggestions for future work or follow-up research
Reference
Annexes (not counted toward page minimum)
Workshop
A 2-day workshop will be held in Tokyo in 2025. The format will be in- person. The moderator and speakers must attend in person.
We will invite experts to present simulation analyses and case studies to strengthen connections between the two studies and further discuss policy implications. There will be two sessions each day.
The workshop will gather various stakeholders from government, embassies in Tokyo, think tanks, PECC, ABAC, and graduate students. We aim for 30 participants.
APEC Workshop on Structural Reform: Digitalization, Productivity, and Labor Migration
Tokyo, 2025 | In-person | Language: English
Tentative Agenda Day 1
10:00–10:10 Opening Remarks
10:10–10:30 Keynote Speech
10:30–11:00 Session 1: Framing the Issues
11:00–12:00 Session 2: CGE Simulation Analyses
12:00–13:30 Lunch Break
13:30–14:45 Session 3: Case Studies (Part I) 14:45–15:00 Coffee Break
15:00–16:15 Interactive Session A: Addressing specific challenges for women in the context of labor mobility, upskilling, and technological adaptation
16:15–17:00 Free Discussion Evening Dinner Reception
Day 2
10:00–11:30 Session 4: Case Studies (Part II) 11:30–13:00 Session 5: Case Studies (Part III) 13:00–14:30 Lunch Break
14:30–15:45 Interactive Session B: Policy Recommendations – Toward APEC Cooperation
15:45–16:00 Coffee Break
16:00–17:00 Closing Remarks & Wrap-up Discussion
Outcome
1) The project will create a comprehensive APEC publication that provides an in-depth analysis and offers valuable policy recommendations for APEC economies to address workforce challenges, particularly in the context of technological advancements and changing demographics.
2) By combining simulation analyses with real-world case studies, the project will provide a robust evidence base for policymakers to craft strategies, offering best practices and actionable policy options that can be adapted to the unique workforce dynamics of various APEC economies.
3) The workshop in Tokyo will serve as a platform for experts, policymakers, and stakeholders to deepen their understanding of policy implications and promote knowledge exchange. It will enhance collaboration among key stakeholders in the region, supporting future policy development and implementation. Participation in the workshop will also enable stakeholders to build the capacity to address these issues in their respective economies.
4) The outcomes of this project will establish a foundation for future research and dialogue on labor migration, skill recognition, and economic policy in the APEC region, paving the way for ongoing efforts to address the region's evolving workforce challenges.
Beneficiaries
Primary Beneficiaries:
a) Experts and researchers from the case study economies
b) Participants from the 11 travel-eligible APEC economies
c) Government officials and policy-makers from APEC economies—including officials from the embassies based in Tokyo—working in the fields of structural reform, industry, trade, human resource development, and immigration
d) Representatives from relevant APEC fora such as the Economic Committee (EC), Committee on Trade and Investment (CTI), and Human Resources Development Working Group (HRDWG),
e) Representatives from the Pacific Economic Cooperation Council (PECC) and the APEC Business Advisory Council (ABAC), including both Japanese members and those from other participating economies
Secondary Beneficiaries: General public includes a broader audience beyond the immediate participants of the Workshop, such as researchers, academics, policymakers, students, journalists, business leaders, and civil society organizations across APEC economies.
