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The Rise of China in the Global Production Network: What Can Autocatalytic Sets Teach Us?

Author

Listed:
  • Flora Bellone

    (Université Côte d'Azur, CNRS, GREDEG, France
    OFCE, SciencePo)

  • Arnaud Persenda

    (Université Côte d'Azur, CNRS, GREDEG, France)

  • Paolo Zeppini

    (Université Côte d'Azur, CNRS, GREDEG, France
    University of Bath, UK)

Abstract

In this paper we revisit the emergence of China as a dominant player within the world economy by using the innovative framework of autocatalytic networks. Specifically, we build and apply an autocatalylic sets detection algorithm to a world input-output (IO) network built from the WIOD database, covering the 2000-2014 period. From this analysis, we identify two key turning points in the course of China development: First, the year 2005, when a Chinese densifying local autocatalytic set branched to a global one, unraveling the complementarity between domestic and international cyclical IO connections in the course of China development. Second, the year 2013, when key Chinese industries replace their U.S. counterparts at the core of the global autocatalytic set, revealing an economic rivalry between these two large economies specifically for their role and position in the global production network.

Suggested Citation

  • Flora Bellone & Arnaud Persenda & Paolo Zeppini, 2024. "The Rise of China in the Global Production Network: What Can Autocatalytic Sets Teach Us?," GREDEG Working Papers 2024-26, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
  • Handle: RePEc:gre:wpaper:2024-26
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    References listed on IDEAS

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    More about this item

    Keywords

    Autocatalytic networks; Trade; Input-Output tables; China;
    All these keywords.

    JEL classification:

    • F63 - International Economics - - Economic Impacts of Globalization - - - Economic Development
    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • D57 - Microeconomics - - General Equilibrium and Disequilibrium - - - Input-Output Tables and Analysis

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