Indicators for International Trade and Economic Globalization

Indicators which have been developed within the context of trade in value-added are, for instance, the import content of exports, value-added induced by export, or value-added induced by unit of export. Indicators help to identify the value-added of international trade, in particular the contribution of global value chains to economic growth, employment, productivity, labor compensation, research and development, and technological innovation. These indicators shed new light on financial, technological and trade interdependencies.


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Global Production Networks and Employment

A Developing Country Perspective
Ben Shepherd Susan Stone 2013

This paper provides evidence of the links between Global Value Chains (GVCs) and labour market outcomes, focusing on developing economies. The literature generally indicates that firms with international linkages—which we use here as a proxy for GVC involvement—tend to employ more workers, pay higher wages, and employ more skilled workers than firms that deal exclusively with the domestic market. Our results are consistent with existing evidence found in developed economies, with internationalised firms tending to hire more workers and pay higher wages in developing economies as well... more »

Global Value Chains and Developing Country Employment

A Literature Review
Ben Shepherd 2013

This paper provides a review of the available literature on global value chains (GVCs) and employment markets in developing countries. Due to the difficulty of observing intra-GVC transactions, there is very little direct empirical work on GVCs and labour markets. However, it is possible to extrapolate from the extensive empirical work already undertaken on firm internationalisation and labour markets to draw inferences as to the likely impacts of GVCs. The review therefore focuses on the labour market impacts of three processes that lie at the core of GVC development: importing, exporting, and foreign direct investment (FDI)... more »

Staying Competitive in the Global Economy

Compendium of studies on Global Value Chains
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This report brings together OECD data on the globalisation of value chains, including the rise of outsourcing/offshoring. It first examines how OECD countries are affected by the globalisation of production, on both the macroeconomic and sector-specific levels. The costs and benefits of globalisation are then discussed, with an emphasis on employment and productivity. Finally, this report analyses how globalisation impacts the competitiveness of OECD countries, highlighting the need for an effective innovation strategy. The report discusses not only the moving up the value chain that takes place in OECD countries but also in China, as R&D is increasingly going to emerging countries. more »