Uncovering Value Added in Trade

New Approaches to Analyzing Global Value Chains

Value chain trade has challenged economic implications of conventional trade statistics and transformed bilateral trade relationships into multilaterals. Conventional trade statistics exaggerate trade volumes and bilateral trade imbalances. It is imperative to measure trade in value-added and examine trade relations in the context of global value chains. This book is a collection of research papers on new approaches to measure trade in value added and the role of global value chains in modern international trade. It introduces the input output method for measuring trade and a direct approach for measuring the domestic value added of the People's Republic of China — the center of global assembly. In addition, it shows how to analyze trade relations in the context of global value chains.

Contents:

• Introduction (Yuqing Xing)
• Implications of Global Value Chains for Trade Statistics and Trade Policy (Christophe Degain and Andreas Maurer)
• OECD Inter-Country Input–Output Model and Policy Implications (Norihiko Yamano)
• Estimating the Upper Limits of Value Added in the People's Republic of China's Processing Exports (Yuqing Xing)
• An Alternative Measurement for International Fragmentation of the Production Process: An International Input–Output Approach (Satoshi Inomata)
• Share of Imports and Commodities in Consumption and Investment in the United States (Galina Hale and Bart Hobijn)
• Domestic Value Chains in the People's Republic of China and Their Linkages with the Global Economy (Bo Meng)
• The "Fox–Apple" Partnership in the Global Value Chain: How Did Foreign Direct Investment and Contract Manufacturing Reshape the Landscape of the Electronics Industry? (Guoyong Liang)

Readership: Advance postgraduate students and researchers in the field of international economics, particularly those studying global value chains. Key Features:

• This is the first book to systematically introduce the input-output method for measuring trade in value-added and a direct approach to measure the domestic value-added of China's exports
• Chapters are based on innovative approaches to analyze trade relations under global value chains
• Contributors are leading scholars in global value chains research and study. The authors are from WTO, OECD, ADBI, UNCTAD, the US Fed, JETRO-IDE and Peking University — a great combination and representation of international organizations and academic institutions