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Does Global Value Chain Participation Lead to Economic Upgrading?

Author

Listed:
  • Hüseyin A. Özer

    (Gebze Technical University)

  • Taner Turan

    (Gebze Technical University)

  • Halit Yanikkaya

    (Gebze Technical University)

Abstract

Despite extensive research on Global Value Chains (GVCs), there remains a notable lack of empirical studies examining their impact on economic upgrading. Our study addresses this gap by investigating how different forms of GVC participation influence economic upgrading across industries. Our findings indicate that GVC participation plays a pivotal role in both product and process upgrading across all industries. For MENA region, both forward and backward GVC participation significantly and positively contribute to process and product upgrading in agriculture industry. On the other hand, while the fuels- minerals and manufacturing sectors exhibit product upgrading but these sectors do not demonstrate any improvement for process upgrading by GVC participation.

Suggested Citation

  • Hüseyin A. Özer & Taner Turan & Halit Yanikkaya, 2024. "Does Global Value Chain Participation Lead to Economic Upgrading?," Working Papers 1760, Economic Research Forum, revised 20 Dec 2024.
    • Handle: RePEc:erg:wpaper:1760
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