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Shifts in Production in East Asia

Author

Listed:
  • Laura Berger-Thomson

    (Reserve Bank of Australia)

  • Mary-Alice Doyle

    (Reserve Bank of Australia)

Abstract

Over the past few decades, manufacturing production has shifted from the higher to the lower income economies in east Asia. This article uses input-output analysis to explore how total value added in manufacturing has shifted around the region. It finds that for most economies, the domestic content of manufacturing production has decreased over time, reflecting the increasing complexity of supply chains and the growth of intra-industry trade in the region. Also, a rising share of the region’s production has been taking place in China, and this trend is expected to continue for some time yet.

Suggested Citation

  • Laura Berger-Thomson & Mary-Alice Doyle, 2013. "Shifts in Production in East Asia," RBA Bulletin (Print copy discontinued), Reserve Bank of Australia, pages 29-38, June.
    • Handle: RePEc:rba:rbabul:jun2013-04
    as

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    File URL: https://www.rba.gov.au/publications/bulletin/2013/jun/pdf/bu-0613-4.pdf
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    References listed on IDEAS

    as
    1. Nagwa Riad & Luca Errico & Christian Henn & Christian Saborowski & Mika Saito & Jarkko Turunen, 2012. "Changing Patterns of Global Trade," IMF Departmental Papers / Policy Papers 2012/001, International Monetary Fund.
    2. Chen, Xikang & Cheng, Leonard K. & Fung, K.C. & Lau, Lawrence J. & Sung, Yun-Wing & Zhu, K. & Yang, C. & Pei, J. & Duan, Y., 2012. "Domestic value added and employment generated by Chinese exports: A quantitative estimation," China Economic Review, Elsevier, vol. 23(4), pages 850-864.
    3. Vanessa Rayner & James Bishop, 2013. "Industry Dimensions of the Resource Boom: An Input-Output Analysis," RBA Research Discussion Papers rdp2013-02, Reserve Bank of Australia.
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