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Give Credit Where Credit is Due: Tracing Value Added in Global Production Chains

58 Pages Posted: 4 Oct 2010  

Robert Koopman

U.S. International Trade Commission

William M. Powers

affiliation not provided to SSRN

Zhi Wang

U.S. International Trade Commission

Shang-Jin Wei

Columbia 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

Multiple version iconThere are 2 versions of this paper

Date Written: September 2010

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.

Suggested Citation

Koopman, Robert and Powers, William M. and Wang, Zhi and Wei, Shang-Jin, Give Credit Where Credit is Due: Tracing Value Added in Global Production Chains (September 2010). NBER Working Paper No. w16426. Available at SSRN: https://ssrn.com/abstract=1685731

Robert Koopman (Contact Author)

U.S. International Trade Commission ( email )

500 E Street, SW
Washington, DC 20436
United States

William M. Powers

affiliation not provided to SSRN ( email )

Zhi Wang

U.S. International Trade Commission ( email )

500 E Street, SW
Washington, DC 20436
United States

Shang-Jin Wei

Columbia Business School - Finance and Economics ( email )

3022 Broadway
New York, NY 10027
United States

National Bureau of Economic Research (NBER)

1050 Massachusetts Avenue
Cambridge, MA 02138
United States

Centre for Economic Policy Research (CEPR)

77 Bastwick Street
London, EC1V 3PZ
United Kingdom

International Monetary Fund (IMF)

700 19th Street, N.W.
Washington, DC 20431
United States

Tsinghua University - School of Economics & Management

Beijing, 100084
China

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