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International Production Fragmentation: Approaches to Measuring

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  • Marina Gamilovna Mazitova

    (Economic Research Institute FEB RAS)

Abstract

The article presents the classification of study methods of international production fragmentation depending on the source of data: custom statistics on processing trade, international trade on parts and components, input-output tables. The author conducted comparative analysis of data sources and study methods and described the examples of using various methods depending on the aspects of research. Based on the statistics of processing trade one can study only certain cases of international production fragmentation, when components or materials are exported (imported) to be processed abroad and then re-imported (re-exported). The availability of data on international trade of parts and components and its comparability between countries allows conducting an analysis of expansion motives of international production fragmentation, but the drawback of the methods is strong aggregation of categories of goods classification. Input-output tables, despite an array of methodical issues, are the most preferable source of data for studying the processes of production fragmentation that allows for industrial analysis, even if the tables are available for certain countries only on comparative basis and are not updated regularly. The article shows example of new improved sources of data (complex inter-country input-output tables, trade in value added), which allow softening the issues of methods based on national input-output tables

Suggested Citation

  • Marina Gamilovna Mazitova, 2018. "International Production Fragmentation: Approaches to Measuring," Spatial Economics=Prostranstvennaya Ekonomika, Economic Research Institute, Far Eastern Branch, Russian Academy of Sciences (Khabarovsk, Russia), issue 2, pages 154-169.
  • Handle: RePEc:far:spaeco:y:2018:i:2:p:154-169
    DOI: 10.14530/se.2018.2.154-169
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    More about this item

    Keywords

    international production fragmentation; revealed comparative advantage; RCA; vertical specialization; vertical specialization index; value added;
    All these keywords.

    JEL classification:

    • C18 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Methodolical Issues: General
    • D57 - Microeconomics - - General Equilibrium and Disequilibrium - - - Input-Output Tables and Analysis
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy

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