Who produces for whom in the world economy?
AbstractFor nearly two decades, the share of trade in inputs, also called vertical trade, has dramatically increased. This paper suggests a new measure of international trade: “value-added trade”. Like many existing estimates, “value-added trade” is net of double-counted vertical trade. It also reallocate trade flows to their original input-producing industries and countries and allows to answer the question “who produces for whom”. In 2004, 27% of international trade were "only" vertical specialization trade. The sector repartition of value-added trade is very different from the sector repartition of standard trade. Value-added trade is less regionalized than standard trade.
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Bibliographic InfoPaper provided by Observatoire Francais des Conjonctures Economiques (OFCE) in its series Documents de Travail de l'OFCE with number 2009-18.
Date of creation: 2009
Date of revision:
Globalization; Vertical trade; Regionalisation;
Other versions of this item:
- F15 - International Economics - - Trade - - - Economic Integration
- F19 - International Economics - - Trade - - - Other
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