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Global Value Trees

Author

Listed:
  • Zhen Zhu
  • Michelangelo Puliga
  • Federica Cerina
  • Alessandro Chessa
  • Massimo Riccaboni

Abstract

The fragmentation of production across countries has become an important feature of the globalization in recent decades and is often conceptualized by the term, global value chains (GVCs). When empirically investigating the GVCs, previous studies are mainly interested in knowing how global the GVCs are rather than how the GVCs look like. From a complex networks perspective, we use the World Input-Output Database (WIOD) to study the global production system. We find that the industry-level GVCs are indeed not chain-like but are better characterized by the tree topology. Hence, we compute the global value trees (GVTs) for all the industries available in the WIOD. Moreover, we compute an industry importance measure based on the GVTs and compare it with other network centrality measures. Finally, we discuss some future applications of the GVTs.

Suggested Citation

  • Zhen Zhu & Michelangelo Puliga & Federica Cerina & Alessandro Chessa & Massimo Riccaboni, 2014. "Global Value Trees," Papers 1410.4694, arXiv.org, revised Dec 2014.
    • Handle: RePEc:arx:papers:1410.4694
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    File URL: http://arxiv.org/pdf/1410.4694
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    Other versions of this item:

    • Zhen Zhu & Michelangelo Puliga & Federica Cerina & Alessandro Chessa & Massimo Riccaboni, 2014. "Global value trees," Working Papers 11/2014, IMT School for Advanced Studies Lucca, revised Oct 2014.

    More about this item

    JEL classification:

    • C67 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Input-Output Models
    • F10 - International Economics - - Trade - - - General
    • F15 - International Economics - - Trade - - - Economic Integration

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