IDEAS home Printed from https://ideas.repec.org/p/bwp/bwppap/ctg-2012-10.html
   My bibliography  Save this paper

Vertical specialization and industrial upgrading: a preliminary note

Author

Listed:
  • Xiao Jiang
  • William Milberg

Abstract

Abstract Vertical specialization is a measure of the import content of exports. Given the widely recognized importance of trade in tasks and global production networks, vertical specialization has recently gained the attention of international trade researchers and policy makers. In this note, we use measured changes in the within-country pattern of vertical specialization to gauge the relevance of task trade for industrial upgrading and economic development. We first calculate vertical specialization (VS) for five countries between 1995 and 2005 – USA, China, India, Brazil and South Africa. We then construct our own measure – the import content of export expansion ratio (ICEER) – to isolate changes in import content from the growth in exports. Since the ICEER measure captures structural change in the import content of exports for each country at the sectoral level, we use ICEER as a proxy for the kind of industrial upgrading associated with raising the proportion of export value accruing to the domestic sector. We name this kind of upgrading ‘vertical upgrading’.

Suggested Citation

  • Xiao Jiang & William Milberg, 2012. "Vertical specialization and industrial upgrading: a preliminary note," Global Development Institute Working Paper Series ctg-2012-10, GDI, The University of Manchester.
  • Handle: RePEc:bwp:bwppap:ctg-2012-10
    as

    Download full text from publisher

    File URL: http://www.capturingthegains.org/pdf/ctg-wp-2012-10.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. Humphrey, John. & Chen, Martha., 2004. "Upgrading in global value chains," ILO Working Papers 993698523402676, International Labour Organization.
    2. William MILBERG & Deborah WINKLER, 2011. "Economic and social upgrading in global production networks: Problems of theory and measurement," International Labour Review, International Labour Organization, vol. 150(3-4), pages 341-365, December.
    3. Yuqing Xing & Neal Detert, 2010. "How iPhone Widens the US Trade Deficits with the PRC?," GRIPS Discussion Papers 10-21, National Graduate Institute for Policy Studies.
    4. Ner Artola & Eduardo Zepeda & Roberta Rabellotti & Raquel Gomes & Alessia Amighini & Claudio Maggi Campos & Arlindo Villaschi Filho & Carlo Pietrobelli & José Eduardo Cassiolato & Mario Davide Parrill, 2006. "Upgrading to Compete: Global Value Chains, Clusters, and SMEs in Latin America," IDB Publications (Books), Inter-American Development Bank, number 13158 edited by Roberta Rabellotti & Carlo Pietrobelli, February.
    5. Escaith, Hubert & Lindenberg, Nannette & Miroudot, Sébastien, 2010. "International Supply Chains and Trade Elasticity in Times of Global Crisis," MPRA Paper 20478, University Library of Munich, Germany.
    6. Sébastien Miroudot & Alexandros Ragoussis, 2009. "Vertical Trade, Trade Costs and FDI," OECD Trade Policy Papers 89, OECD Publishing.
    7. repec:ilo:ilowps:369852 is not listed on IDEAS
    8. Miller,Ronald E. & Blair,Peter D., 2009. "Input-Output Analysis," Cambridge Books, Cambridge University Press, number 9780521517133, April.
    9. Miller,Ronald E. & Blair,Peter D., 2009. "Input-Output Analysis," Cambridge Books, Cambridge University Press, number 9780521739023, April.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Tewari Meenu & Veeramani C., 2016. "Network Trade and Development: What Do Patterns of Vertically Specialized Trade in ASEAN Tell Us About India’s Place in Asian Production Networks?," Global Economy Journal, De Gruyter, vol. 16(2), pages 349-388, June.
    2. Maritza Sotomayor, 2016. "Vertical Specialization of Production: Critical Review and Empirical Evidence for the Mexican Manufacturing Industries 1994-2014," International Journal of Business and Social Research, MIR Center for Socio-Economic Research, vol. 6(2), pages 11-28, February.
    3. ŞERBĂNEL Cristiana Ioana, 2014. "New Coordinates And Challenges: Moving Up The Value Chain. A Macroeconomic Perspective," Studies in Business and Economics, Lucian Blaga University of Sibiu, Faculty of Economic Sciences, vol. 9(3), pages 168-180, December.
    4. Bruno Carballa Smichowski & Cédric Durand & Steven Knauss, 2016. "Uneven development patterns in global value chains," CEPN Working Papers hal-01368948, HAL.

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:bwp:bwppap:ctg-2012-10. 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: (Rowena Harding). General contact details of provider: http://edirc.repec.org/data/wpmanuk.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 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.

    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.