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

Alessandro Antimiani, Luca Salvatici, Ilaria Fusacchia

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.

Full Text:

PDF


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

Refbacks

  • There are currently no refbacks.


Copyright (c) 2018 Alessandro Antimiani, Luca Salvatici, Ilaria Fusacchia