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The Evolution of the World’s Production Fragmentation: 2000 –2014, a network analysis

Susana Vieira, Renato G. Flôres and Maria Paula Fontoura

No 2019/86, Working Papers REM from ISEG - Lisbon School of Economics and Management, REM, Universidade de Lisboa

Abstract: We employ network analysis to characterise the evolution of the world’s trade in value-added between 2000 and 2014. Relatively to previous studies, more recent time points are included, consolidating some of their conclusions. A small number of countries occupy central positions in the international production chains and concentration rules, along a few main production regions. Without Germany, Europe loses its pumping engine; the same for Asia without China and, in 2014, for the whole world, without the US. Will China eventually either absorb or dominate the other hubs, becoming the new central node of the World Trade Network?

Keywords: Trade in Value Added; Input -Output Matrix; Network Analysis; Node and Eigenvector Centrality. (search for similar items in EconPapers)
JEL-codes: F01 F23 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-cna and nep-int
Date: 2019-06
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