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

Author

Listed:
  • Aycil Yücer

    (LEDa - Laboratoire d'Economie de Dauphine - Université Paris Dauphine-PSL - PSL - Université Paris sciences et lettres)

  • Joaquim Guilhoto
  • Jean-Marc Siroën

    (LEDa - Laboratoire d'Economie de Dauphine - Université Paris Dauphine-PSL - PSL - Université Paris sciences et lettres)

Abstract

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.

Suggested Citation

  • Aycil Yücer & Joaquim Guilhoto & Jean-Marc Siroën, 2014. "Internal and International Vertical Specialization of Brazilian states– An Input-Output analysis," Post-Print hal-01344515, HAL.
    • Handle: RePEc:hal:journl:hal-01344515
    DOI: 10.3917/redp.244.0599
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    1. repec:gdk:wpaper:40 is not listed on IDEAS
    2. Njike, Arnold, 2019. "Import processing zones, tools for regional integration? The case of the free trade zone of Manaus (Brazil)," MPRA Paper 97652, University Library of Munich, Germany.
    3. Florent Bédécarrats & Isabelle Guérin & François Roubaud, 2015. "The gold standard for randomized evaluations: from discussion of method to political economy," Working Papers DT/2015/01, DIAL (Développement, Institutions et Mondialisation).
    4. Giuseppe Ricciardo Lamonica, 2020. "How fragmented is the world economy: evidences from the EORA database," RIEDS - Rivista Italiana di Economia, Demografia e Statistica - The Italian Journal of Economic, Demographic and Statistical Studies, SIEDS Societa' Italiana di Economia Demografia e Statistica, vol. 74(2), pages 39-48, April-Jun.
    5. Giuseppe Ricciardo Lamonica & Luca Salvati & Margherita Carlucci, 2020. "Vertical specialization across the world: evidence from the world input-output table," RIEDS - Rivista Italiana di Economia, Demografia e Statistica - The Italian Journal of Economic, Demographic and Statistical Studies, SIEDS Societa' Italiana di Economia Demografia e Statistica, vol. 74(1), pages 17-28, January-M.

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