 Production fragmentation, upstreamness, and value added: Evidence from Factory Asia 1990–2005Tadashi Ito and Pierre-Louis Vézina Journal of the Japanese and International Economies, 2016, vol. 42, issue C, 1-9 Abstract: We exploit the recent release of the 2005 Asian Input-Output Matrix to dress a picture of the geographic fragmentation of value added in Factory Asia from 1990 to 2005. We document 3 stylized facts. The first is that the average share of foreign value added embedded in production rose by about 7 percentage points between 1990 and 2005, from 9% to 16%. The second is that, contrary to popular belief, China has emerged as a major source of value added to other Factory Asia countries’ production. Third, we find empirical support for the smile-curve hypothesis. Country-industries at the upstream and downstream extremities of the supply chain embed a larger share of value added than those with intermediate levels of upstreamness. Keywords: Factory Asia; Supply chains; Upstreamness (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:jjieco:v:42:y:2016:i:c:p:1-9 DOI: 10.1016/j.jjie.2016.08.002 Access Statistics for this article Journal of the Japanese and International Economies is currently edited by Takeo Hoshi More articles in Journal of the Japanese and International Economies from Elsevier |
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