Czasopismo
Tytuł artykułu
Autorzy
Warianty tytułu
Języki publikacji
Abstrakty
Research background: High servitisation of manufacturing makes it impossible to separate services from manufactured goods properly, which implies difficulties in the assessment of the position of the country on the smile curve, i.e. in the proper assignment of products or services to one of the industrial process steps: pre-production, pure fabrication or post-production services. Therefore, we propose to use the business functions of industries identified with the aid of labour market data rather than the industrial classification of products in order to create a more appropriate measure of the position of countries in GVCs.
Purpose of the article: We aim to identify and analyse the patterns of functional specialization for eight Central and Eastern European Countries (CEECs) - the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia and Slovenia - both at the country and industry level. In addition, we analyse functional specialisation patterns for Germany, which serves as a reference country.
Methods: To assess functional specialisation patterns, we employ the methodology proposed by Timmer et al. (2019a). It allows us to obtain functional specialisation indices for four different business functions - management, R&D, marketing, and fabrication. To compute them, we combine two sources of data - domestic value added from decomposed sectoral input-output tables (the World Input Output Database) and the Occupations Database built up by Timmer et al. (2019a).
Findings & value added: Our research shows a very heterogeneous pattern in CEEC countries' position in GVCs by taking into account their functional specialisation at the countries and industries levels. Poland and Slovakia focus primarily on low value-added fabrication processes, the Baltic countries and Slovenia specialise in management services, Hungary and Latvia gain in marketing services, and the Czech Republic and Slovenia win in R&D activities. We indicate that some CEE countries (Poland, Slovakia) could be stuck in a functional trap, and our approach could be a valuable tool for assessing the process of coming out of it. (original abstract)
Purpose of the article: We aim to identify and analyse the patterns of functional specialization for eight Central and Eastern European Countries (CEECs) - the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia and Slovenia - both at the country and industry level. In addition, we analyse functional specialisation patterns for Germany, which serves as a reference country.
Methods: To assess functional specialisation patterns, we employ the methodology proposed by Timmer et al. (2019a). It allows us to obtain functional specialisation indices for four different business functions - management, R&D, marketing, and fabrication. To compute them, we combine two sources of data - domestic value added from decomposed sectoral input-output tables (the World Input Output Database) and the Occupations Database built up by Timmer et al. (2019a).
Findings & value added: Our research shows a very heterogeneous pattern in CEEC countries' position in GVCs by taking into account their functional specialisation at the countries and industries levels. Poland and Slovakia focus primarily on low value-added fabrication processes, the Baltic countries and Slovenia specialise in management services, Hungary and Latvia gain in marketing services, and the Czech Republic and Slovenia win in R&D activities. We indicate that some CEE countries (Poland, Slovakia) could be stuck in a functional trap, and our approach could be a valuable tool for assessing the process of coming out of it. (original abstract)
Twórcy
autor
- Gdansk University of Technology, Poland
autor
- Gdansk University of Technology, Poland
Bibliografia
- Antràs, P., Chor, D., Fally, T., & Hillberry, R. (2012). Measuring the upstreamness of production and trade flows. American Economic Review, 102(3), 412-416. doi: 10.1257/aer.102.3.412.
- Balassa, B. (1965). Trade liberalisation and 'revealed' comparative advantage. Manchester School of Economic and Social, 33, 99-123.
- Blažek, J. (2016). Towards a typology of repositioning strategies of GVC/GPN suppliers: the case of functional upgrading and downgrading. Journal of Economic Geography, 16(4), 849-869. doi: doi.org/10.1093/jeg/lbv044.
- Buckley, P. J., Strange, R., Timmer, M. P., & de Vries, G. (2020). Catching-up in the global factory: analysis and policy implications. Journal of International Business Policy, 3, 79-106. doi: 10.1057/s42214-020-00047-9.
- Cattaneo, O., Gereffi, G., Miroudot, S., & Aglioni, D. (2013). Joining, upgrading and being competitive in global value hcains: a strategic framework. World Bank Policy Research Paper, 6406, 1-52.
- Chen, B. (2017). Upstreamness, exports, and wage inequality: evidence from Chinese manufacturing data. Journal of Asian Economics, 48, 66-74. doi: 0.1016/j.asieco.2016.11.003.
- Chen, Q., Gao, Y., Pei, J., de Vries, G., & Wang, F. (2018). Formerly assembled, but now designed in China? Assessing the domestic value-added of activities in gross exports. GGDC Research Memorandum, 1-41(180).
- Cieślik, A., Michałek, J., & Szczygielski, K. (2019). What matters for firms? Participation in Global Value Chains in Central and East European countries? Equilibrium. Quarterly Journal of Economics and Economic Policy, 14(3), 481-502. doi: 10.24136/eq.2019.023.
- de Backer, K., & Miroudot, S. (2014). Mapping global value chains. ECB Working Paper Series, 1677. doi: 10.1787/5k3v1trgnbr4-en.
- de Vries, G., Jiang, A., Lemmers, O., & Wei, S. J. (2020). Firm productivity and functional specialisation. World Economy. Advance online publication. doi: 10.1111/twec.13055.
- Degain, C., Meng, B., & Wang, Z. (2017). Recent trends in global trade and global value chains. In Global value chain development report 2017: measuring and analyzing the impact of GVCs on economic development. WTO.
- EC (2014) High-level group on business services. Retrieved from http://ec.europa.eu/DocsRoom/documents/4981/attachments/1/translations.
- Fally, T. (2011). On the fragmentation of production in the US. University of Colorado-Boulder, mimeo. University of Colorado-Boulder.
- Fontagné, L., & Harrison, A. (2017). The factory-free economy: outsourcing, servitization and the future of industry. NBER Working Papers, 23016, 1-34. doi: 10.3386/w23016.
- Gereffi, G. (2019). Economic upgrading in global value chains. In: S. Ponte, G. Gereffi, & G. Raj-Reichert (Eds.). Handbook on global value chains. Edward Elgar Publishing, 240-254.
- Javorcik, B. (2020). Global supply chains will not be the same in the post-COVID-19 world. In: R. Baldwin & S. J. Evenett (Eds.). COVID-19 and trade policy: Why turning inward won't work. Washington: CEPR Press, 111-116.
- Krugman, P. R. (1980). Scale economies, product differentiation, and the pattern of trade. American Economic Review, 70(5), 950-959.
- Krugman, P. R. (1991). Increasing returns and economic geography. Journal of Political Economy, 99, 483-499. doi: 10.3386/w3275.
- Krūminas, P., Rybakovas, E., & Paliokaitė, A. (2019). Global value chains and middle-income trap: skills, innovation, and integration in Central and Eastern Europe. Retrieved from https://www.visionary.lt/wp-content/uploads/2020/03/Global-value-chains-and-middle-income-trap-skills-innovation-and-integrationin-CEE.pdf.
- Meng, B., & Wei, S. J. (2020). Measuring smile curves in global value chains. Oxford Bulletin of Economics and Statistics, 82(5), 988-1016. doi: 10.1111/obes.12364.
- OECD (2020). COVID-19 and global value chains: policy options to build more resilient production networks. OECD Policy Responses, 1-11. Retrieved from http://www.oecd.org/coronavirus/policy-responses/covid-19-and-global-valuechains-policy-options-to-build-more-resilient-production-networks-04934ef4/.
- OECD (2018). Multinational enterprises in the global economy: heavily debated but hardly measured. Paris: OECD. Retrieved from https://www.oecd.org/industry/ind/MNEs-in-the-global-economy-policy-note.pdf.
- Ohlin, B. (1967). Interregional and international trade. Cambridge: Harvard University Press.
- Ricardo, D. (1817). On the principles of political economy and taxation. London: John Murray.
- Shih, S. (1996). Me-too is not my style: challenge difficulties, break through bottlenecks, create value. Taipei: The Acer Foundation. Retrieved from http://211.79.206.2/ocp/skin/ajax/ACER_SCH_000_W_FIT/ebook.php?bookN o=180116053827497.
- Stöllinger, R. (2018). Smile curves economics vs comparative advantages: does functional specialisation matter for economic growth. Retrieved from https://www.etsg.org/ETSG2018/papers/211.pdf.
- Stöllinger, R. (2019). Testing the smile curve: functional specialisation in GVCs and value creation. WIIW Working Papers, 163, 1-45.
- Stöllinger, R. (2021). Testing the smile curve: functional specialisation and value creation in GVCs. Structural Change and Economic Dynamics, 56, 93-116. doi: 10.1016/j.strueco.2020.10.002.
- Taglioni, D., & Winkler, D. (2016). Making global value chains work for development. Washington: World Bank Group.
- Timmer, M., Stehrer, R., & de Vries, G. (2014). Functional specialization in international trade. ETSG Conference Paper. Retrieved from https://www.etsg.org/ETSG2014/Papers/255.pdf.
- Timmer, M. P., Dietzenbacher, E., Los, B., Stehrer, R., & de Vries, G. J. (2015). An illustrated user guide to the world input-output database: the case of global automotive production. Review of International Economics, 23(3), 575-605. doi: 10.1111/roie.12178.
- Timmer, M., Miroudot, S., & De Vries, G. (2019a). Functional specialisation in trade. Journal of Economic Geography, 19(1), 1-30. doi: 10.1093/jeg/lby056.
- Timmer, M., Miroudot, S., & De Vries, G. (2019b). Functional specialisation in trade [dataset /supplementary data]. Journal of Economic Geography, 19(1), 1-30. doi: 10.1093/jeg/lby056.
- Wang, Z., Wei, S. J., Yu, X., & Zhu, K. (2017). Characterizing global value chains: production length and upstreamness. NBER Working Paper, 23261.
Typ dokumentu
Bibliografia
Identyfikatory
Identyfikator YADDA
bwmeta1.element.ekon-element-000171617164