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Internal and International Vertical Specialization of Brazilian states– An Input-Output analysis

Listed author(s):
  • Aycil Yücer

    (LEDa - Laboratoire d'Economie de Dauphine - Université Paris-Dauphine)

  • Joaquim Guilhoto
  • Jean-Marc Siroën

    (LEDa - Laboratoire d'Economie de Dauphine - Université Paris-Dauphine)

WTO, OECD with many others, suggest the trade in value-added would be a “better” measure than gross value to understand the impact of trade on employment, growth, production etc. We use in this work an Input-Output table for 2008, to calculate the value-added exported by Brazilian states. We distinguish the value-added exported directly by the state itself or indirectly via other states. Then, we define the extent of vertical specialization among Brazilian states by using value-added indirectly exported. We calculate equally the import content in states’ exports. If the share of import content in Brazilian exports is low, we show evidence that inter-state trade is quite high across some Brazilian states. Inter-state vertical specialization then operates at upstream stages of the value chain before the good be exported to foreign countries. However the value-added of a state; indirectly exported by another state is quite balanced by the value-added of its own exports which is imported from other states, then the export shares of each state in total Brazilian exports in value-added terms or in gross terms are close.

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Paper provided by HAL in its series Post-Print with number hal-01344515.

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Date of creation: 2014
Publication status: Published in Revue d'économie politique, 2014, 124 (4), <10.3917/redp.244.0599>
Handle: RePEc:hal:journl:hal-01344515
DOI: 10.3917/redp.244.0599
Note: View the original document on HAL open archive server: https://hal.archives-ouvertes.fr/hal-01344515
Contact details of provider: Web page: https://hal.archives-ouvertes.fr/

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