Exploring the Policy Dimensions of Trade in Value-Added

30 Pages Posted: 12 Nov 2014

See all articles by Hubert Escaith

Hubert Escaith

Independent; World Trade Organization (WTO)

Date Written: November 8, 2014

Abstract

Global Value Chains are a dominant feature of today’s global economy, yet their analysis is still incipient from an empirical perspective. Building on a recent OECD-WTO database and the results of an on-going research at WTO, the present essay contributes at filling this gap. The effective protection on industries resulting from tariff duties is analysed from the particular perspective of the international fragmentation of international supply chains. The calculation of effective protection rates provides important insights on the impact of nominal protection on international competitiveness in a trade in tasks perspective. Using Exploratory Data Analysis, the paper identifies also typologies of value-added traders according to economic characteristics and trade policy options.

Note: Revised version of a conference paper presented at the 22nd International Input-Output Conference.

Keywords: Internaitonal Trade, Tariff Policy, Effective Protection, Input-Output Analysis, Trade in Value Added, Competitiveness

JEL Classification: C38, C67, D24, F13, F23, F60, O19

Suggested Citation

Escaith, Hubert, Exploring the Policy Dimensions of Trade in Value-Added (November 8, 2014). Available at SSRN: https://ssrn.com/abstract=2522909 or http://dx.doi.org/10.2139/ssrn.2522909

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