Global Value Chain Decomposition
Overview
Four global value chain (GVC) decompositions are implemented. The Leontief decomposition derives the value added origin of exports by country and industry as in Hummels, Ishii and Yi (2001). The Koopman, Wang and Wei (2014) decomposition splits country-level exports into 9 value added components, and the Wang, Wei and Zhu (2013) decomposition splits bilateral exports into 16 value added components. The Borin and Mancini (2019) decomposition splits country-, sector- or bilateral-level exports into up to 13 value added and GVC components. Various GVC indicators based on these decompositions are computed in the complimentary 'gvc' package. --- References: --- Hummels, D., Ishii, J., & Yi, K. M. (2001). The nature and growth of vertical specialization in world trade. Journal of international Economics, 54(1), 75-96. Koopman, R., Wang, Z., & Wei, S. J. (2014). Tracing value-added and double counting in gross exports. American Economic Review, 104(2), 459-94. Wang, Z., Wei, S. J., & Zhu, K. (2013). Quantifying international production sharing at the bilateral and sector levels (No. w19677). National Bureau of Economic Research. Borin, A., & Mancini, M. (2019). Measuring What Matters in Global Value Chains and Value-Added Trade. World Bank Policy Research Working Paper 8804.
- Added the Borin-Mancini (2019) decomposition via the new
bm()function (also available throughdecomp(method = "bm")). It decomposes gross exports into up to 13 value-added and GVC terms at the country, sector, or bilateral-sector level, under the exporter/source or world/sink perspective. It is the R counterpart ofdecompose()in the Julia packageICIO.jland reproduces the Stataiciocommand's output. - The
kww()documentation now notes that the KWW decomposition is biased (it systematically underestimates foreign value added) and points tobm(perspective = "world", approach = "sink")for the Borin-Mancini correction. Cross-references tobm()were added throughout.
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Package metadata
- First published
- 2014-08-27
- Total releases
- 13 / 12 yrs
- License
- GPL-3 OSI
- Minimum R
- ≥ 3.5.0
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- 0.6 KB / 1 file
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- 43 KB
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