Measuring the Upstreamness of Production and Trade Flows

27 Pages Posted: 3 Feb 2012 Last revised: 10 Mar 2024

See all articles by Pol Antras

Pol Antras

Harvard University - Department of Economics; National Bureau of Economic Research (NBER)

Davin Chor

Dartmouth College - Tuck School of Business

Thibault Fally

UC Berkeley - ARE Department

Russell H. Hillberry

University of Melbourne - Department of Economics; World Bank - Development Research Group (DECRG)

Multiple version iconThere are 2 versions of this paper

Date Written: February 2012

Abstract

We propose two distinct approaches to the measurement of industry upstreamness (or average distance from final use) and show that they yield an equivalent measure. Furthermore, we provide two additional interpretations of this measure, one of them related to the concept of forward linkages in Input-Output analysis. On the empirical side, we construct this measure for 426 industries using the 2002 US Input-Output Tables. We also verify the stability of upstreamness across countries in the OECD STAN database, albeit with a more aggregated industry classification. Finally, we present an application that explores the determinants of the average upstreamness of exports at the country level using trade flows for 2002.

Suggested Citation

Antras, Pol and Chor, Davin and Fally, Thibault and Hillberry, Russell H., Measuring the Upstreamness of Production and Trade Flows (February 2012). NBER Working Paper No. w17819, Available at SSRN: https://ssrn.com/abstract=1998614

Pol Antras (Contact Author)

Harvard University - Department of Economics ( email )

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Davin Chor

Dartmouth College - Tuck School of Business ( email )

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Thibault Fally

UC Berkeley - ARE Department ( email )

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Russell H. Hillberry

University of Melbourne - Department of Economics ( email )

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Australia

World Bank - Development Research Group (DECRG)

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