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Give Credit Where Credit is Due: Tracing Value Added in Global Production ChainsRobert KoopmanU.S. International Trade Commission William M. Powersaffiliation not provided to SSRN Zhi WangU.S. International Trade Commission Shang-Jin WeiColumbia Business School - Finance and Economics; National Bureau of Economic Research (NBER); Centre for Economic Policy Research (CEPR); International Monetary Fund (IMF); Tsinghua University - School of Economics & Management September 2010 NBER Working Paper No. w16426 Abstract: This paper provides both a conceptual framework for decomposing a country’s gross exports into value-added components by source and a new bilateral database on value-added trade. Our parsimonious framework integrates all previous measures of vertical specialization and value-added trade in the literature. To illustrate the potential of the decomposition, we present a number of applications including re-computing revealed comparative advantages and constructing an index to describe whether a country-sector is likely in the upstream or downstream of global production chains. Institutional subscribers to the NBER working paper series, and residents of developing countries may download this paper without additional charge at www.nber.org.
Number of Pages in PDF File: 58 working papers seriesDate posted: October 4, 2010Suggested CitationContact Information
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