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The imperfect competition ladder in economic development: a new map of world trade using complexity analysis

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  • Gala, Paulo
  • Rodrigues Júnior, Luiz Antonio
  • Castro, Lavinia Barros de
  • Carvalho, André Roncaglia de

Abstract

This paper applies complex networks techniques to the study of world trade, with a focus on imperfect competition and development literature. The analysis uses a database of 4657 HS products and 183 countries to measure world market concentration by companies’ country of origin from 2007 to 2017. The empirical findings corroborate some of structuralist and development economists’ claims, namely: countries with high-income per capita focus on producing and exporting manufactured and complex goods in more concentrated markets, whereas countries with low-income per capita specialize in producing and exporting non-complex commodities in less concentrated markets

Suggested Citation

  • Gala, Paulo & Rodrigues Júnior, Luiz Antonio & Castro, Lavinia Barros de & Carvalho, André Roncaglia de, 2022. "The imperfect competition ladder in economic development: a new map of world trade using complexity analysis," Textos para discussão 559, FGV EESP - Escola de Economia de São Paulo, Fundação Getulio Vargas (Brazil).
  • Handle: RePEc:fgv:eesptd:559
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    2. Franco Modigliani, 1958. "New Developments on the Oligopoly Front," Journal of Political Economy, University of Chicago Press, vol. 66(3), pages 215-215.
    3. Tsuyoshi Deguchi & Katsuhide Takahashi & Hideki Takayasu & Misako Takayasu, 2014. "Hubs and Authorities in the World Trade Network Using a Weighted HITS Algorithm," PLOS ONE, Public Library of Science, vol. 9(7), pages 1-16, July.
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