This paper explores whether such goals can be achieved in a region as vast and diverse as the Asia Pacific. The diversity of the resource endowments of the region economies provides enormous potential for mutually beneficial trade and intcrnational investment. At the same time, differences in culture, levels of technological capacity. forms of government and legal systems can make co-operation difficult. It has been recognised, from the outset, that a very flexible approach will be required for economic co-operation which can cope with such diversity. combined with rapid changes in the influence of participants.