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GTAP-VA: An Integrated Tool for Global Value Chain Analysis

Alessandro Antimiani, Luca Salvatici () and Ilaria Fusacchia

Journal of Global Economic Analysis, 2018, vol. 3, issue 2, 69-105

Abstract: Global Value Chains (GVCs) have transformed production across a broad range of goods and services worldwide. New trade statistics are required in order to perform a more accurate analysis of trade flows through their decomposition in terms of value-added content, distinguished according to the sector/region of origin/destination. Our approach traces value added embedded in trade flows back to its origin or forward to its destination in a Computable General Equilibrium (CGE) model. A new module (available as a download with this paper) is introduced to the Global Trade Analysis Project (GTAP) model and used in a stylized scenario with 3 regions (the United States, the European Union and the Rest of the World) and 3 sectors (Manufactures, Agrifood and Services) where a free trade area between the European Union and the United States is simulated. Results show that the new version of the model (GTAP-VA) makes a useful contribution to trade policy analysis.

Keywords: Trade in value added; Global value chains; Computable general equilibrium model; Global Trade Analysis Project; Trade policy. (search for similar items in EconPapers)
Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:gta:jnlgea:v:3:y:2018:i:2:p:69-105

DOI: http://dx.doi.org/10.21642/JGEA.030202AF

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