IDEAS home Printed from https://ideas.repec.org/b/wbk/wbpubs/24910.html
   My bibliography  Save this book

Inclusive Global Value Chains

Author

Listed:
  • Ana Paula Cusolito
  • Raed Safadi
  • Daria Taglioni

Abstract

This report's focus is making global value chains (GVCs) more inclusive. To achieve inclusiveness is by overcoming participation constraints for Small and Medium Enterprises (SMEs) and facilitation access for Low Income Developing Countries (LIDCs). The underlying assumption is that most firms in LIDCs are SMEs. Even larger firms in LIDCs are likely to face similar challenges to SMEs, including a less supportive domestic operating environment and weaker institutions that lead to higher fixed costs and challenges to compete on the international markets. The two major points of this report are (1) participation in GVCs is heterogeneous and uneven, across and within countries, and (2) available data and survey-based evidence suggest that SMEs’ participation in GVCs is mostly taking place through indirect contribution to exports, rather than through exporting directly. The report makes the case that policy action, at the national and multilateral level, can make a difference in achieving more inclusive GVCs through: a holistic approach to reform spanning trade, investment, and domestic policies countries and investments in expanding the statistical base and analysis of GVCs and in sharing knowledge on best practices on enabling policies and programs. The report elaborates on three broad areas of recommendations: (1) establishing a trade and investment action plan for inclusiveness defining clear and achievable objectives on trade and investment policy and identifying the necessary complementary domestic policy actions; (2) complementing trade, investment, and domestic policy actions by providing the needed political leadership and support to enhance collaboration across the sectors, and establishing global platforms for sharing best practices; and (3) providing political support for the establishment of a multi-year plan to expand and upgrade the statistical foundation necessary to increase the capacity of all countries to identify and implement policies that can contribute to stronger, more inclusive and sustainable growth and development, globally.

Suggested Citation

  • Ana Paula Cusolito & Raed Safadi & Daria Taglioni, 2016. "Inclusive Global Value Chains," World Bank Publications - Books, The World Bank Group, number 24910.
  • Handle: RePEc:wbk:wbpubs:24910
    as

    Download full text from publisher

    File URL: https://openknowledge.worldbank.org/bitstream/handle/10986/24910/9781464808425.pdf?sequence=2
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Daria Taglioni & Deborah Winkler, 2016. "Making Global Value Chains Work for Development," World Bank Publications - Books, The World Bank Group, number 24426.
    2. Jensen, Jesper & Tarr, David G., 2011. "Deep trade policy options for Armenia : the importance of services, trade facilitation and standards liberalization," Policy Research Working Paper Series 5662, The World Bank.
    3. Jesper Jensen & David Tarr, 2014. "Deep Trade Policy Options for Armenia: The Importance of Trade Facilitation, Services and Standards Liberalization," World Scientific Book Chapters, in: APPLIED TRADE POLICY MODELING IN 16 COUNTRIES Insights and Impacts from World Bank CGE Based Projects, chapter 19, pages 453-508, World Scientific Publishing Co. Pte. Ltd..
    4. Brulhart, Marius & Hoppe, Mombert, 2011. "Economic integration in the lower Congo region : opening the Kinshasa-Brazzaville bottleneck," Policy Research Working Paper Series 5909, The World Bank.
    5. Sebastián Sáez & Daria Taglioni & Erik van der Marel & Claire H. Hollweg & Veronika Zavacka, 2014. "Valuing Services in Trade : A Toolkit for Competitiveness Diagnostics," World Bank Publications - Books, The World Bank Group, number 21285.
    6. Fagerberg, Jan & Srholec, Martin & Verspagen, Bart, 2010. "Innovation and Economic Development," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 2, chapter 0, pages 833-872, Elsevier.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Edward J. Balistreri & Zoryana Olekseyuk & David G. Tarr, 2017. "Privatisation and the unusual case of Belarusian accession to the WTO," The World Economy, Wiley Blackwell, vol. 40(12), pages 2564-2591, December.
    2. Hannah Schuerenberg-Frosch, 2015. "How to Model a Child in School? A Dynamic Macrosimulation Study for Tanzania," South African Journal of Economics, Economic Society of South Africa, vol. 83(1), pages 117-139, March.
    3. Jovanović, Miroslav N., 2019. "The Supply Chain Economy: How Far does it Spread in Space and Time?," Economia Internazionale / International Economics, Camera di Commercio Industria Artigianato Agricoltura di Genova, vol. 72(4), pages 393-452.
    4. Jan Fagerberg & Martin Srholec, 2017. "Global Dynamics, Capabilities and the Crisis," Economic Complexity and Evolution, in: Andreas Pyka & Uwe Cantner (ed.), Foundations of Economic Change, pages 83-106, Springer.
    5. Herz, Holger & Schunk, Daniel & Zehnder, Christian, 2014. "How do judgmental overconfidence and overoptimism shape innovative activity?," Games and Economic Behavior, Elsevier, vol. 83(C), pages 1-23.
    6. Ndubuisi, Gideon & Owusu, Solomon, 2020. "How important is GVC participation to export upgrading," MERIT Working Papers 2020-026, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    7. Ponomariov, Branco & Toivanen, Hannes, 2014. "Knowledge flows and bases in emerging economy innovation systems: Brazilian research 2005–2009," Research Policy, Elsevier, vol. 43(3), pages 588-596.
    8. Stefan Pahl & Marcel P. Timmer, 2020. "Do Global Value Chains Enhance Economic Upgrading? A Long View," Journal of Development Studies, Taylor & Francis Journals, vol. 56(9), pages 1683-1705, July.
    9. Soete, Luc & Verspagen, Bart & ter Weel, Bas, 2010. "Systems of Innovation," Handbook of the Economics of Innovation, in: Bronwyn H. Hall & Nathan Rosenberg (ed.), Handbook of the Economics of Innovation, edition 1, volume 2, chapter 0, pages 1159-1180, Elsevier.
      • Soete, Luc & Verspagen, Bart & Weel, Bas ter, 2009. "Systems of Innovation," MERIT Working Papers 2009-062, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    10. Lavopa, Alejandro & Szirmai, Adam, 2018. "Structural modernisation and development traps. An empirical approach," World Development, Elsevier, vol. 112(C), pages 59-73.
    11. Dutta, Sourish, 2017. "Research Methods of Assessing Global Value Chains," MPRA Paper 106201, University Library of Munich, Germany.
    12. Viktor Stojkoski & Zoran Utkovski & Ljupco Kocarev, 2016. "The Impact of Services on Economic Complexity: Service Sophistication as Route for Economic Growth," PLOS ONE, Public Library of Science, vol. 11(8), pages 1-29, August.
    13. Dutta, Sourish, 2017. "Mechanics of Global Value chains: India’s Perspective," EconStor Preprints 235156, ZBW - Leibniz Information Centre for Economics.
    14. Victor Kummritz, 2015. "Global Value Chains: Benefiting the Domestic Economy?," IHEID Working Papers 02-2015, Economics Section, The Graduate Institute of International Studies.
    15. Richard Baldwin & Rikard Forslid, 2019. "Globotics and development: When manufacturing is jobless and services are tradable," WIDER Working Paper Series wp-2019-94, World Institute for Development Economic Research (UNU-WIDER).
    16. Olekseyuk, Zoryana & Schürenberg-Frosch, Hannah, 2016. "Are Armington elasticities different across countries and sectors? A European study," Economic Modelling, Elsevier, vol. 55(C), pages 328-342.
    17. Pierluigi Montalbano & Silvia Nenci & Carlo Pietrobelli, 2018. "Opening and linking up: firms, GVCs, and productivity in Latin America," Small Business Economics, Springer, vol. 50(4), pages 917-935, April.
    18. MILE 02, Anirudh Shingal, 2015. "Labour market effects of integration into GVCs: Review of literature," Papers 1109, World Trade Institute.
    19. Sulekha Hembram & Sushil Kr. Haldar, 2021. "Revisiting global income convergence: 1990-2018 A disaggregated analysis," Economics Bulletin, AccessEcon, vol. 41(3), pages 952-974.
    20. Dutta, Sourish, 2016. "A Review of Literature of Global Value Chains," MPRA Paper 106206, University Library of Munich, Germany.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wbk:wbpubs:24910. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: . General contact details of provider: https://edirc.repec.org/data/dvewbus.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tal Ayalon (email available below). General contact details of provider: https://edirc.repec.org/data/dvewbus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.