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A simple and accurate method to calculate domestic and foreign value-added in gross exports

Sebastien Miroudot () and Ming Ye

MPRA Paper from University Library of Munich, Germany

Abstract: In this paper, we propose a hypothetical extraction that provides a theoretically-funded measure of FVA in gross exports and we provide full expressions for a decomposition of gross exports into four terms: DVA, domestic double counting (DDC), FVA and foreign double counting (FDC). As in Los et al. (2016), the fact that we calculate a hypothetical GDP without the exports from a given country is the basis for validating the interpretation of the FVA term. Our DVA term is the same as Los et al. (2016).

Keywords: Trade accounting; input-output table; Value-added decomposition; Global value chains (search for similar items in EconPapers)
JEL-codes: E01 E16 F14 (search for similar items in EconPapers)
Date: 2018-09-01
New Economics Papers: this item is included in nep-int and nep-mac
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