William Powers

U.S. International Trade Commission

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Institutional Affiliation: U.S. International Trade Commission

NBER Working Papers and Publications

September 2010Give Credit Where Credit Is Due: Tracing Value Added in Global Production Chains
with Robert Koopman, Zhi Wang, Shang-Jin Wei: w16426
This paper provides both a conceptual framework for decomposing a country's gross exports into value-added components by source and a new bilateral database on value-added trade. Our parsimonious framework integrates all previous measures of vertical specialization and value-added trade in the literature. To illustrate the potential of the decomposition, we present a number of applications including re-computing revealed comparative advantages and constructing an index to describe whether a country-sector is likely in the upstream or downstream of global production chains.

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