Capturing the gains from globalization: Assessing regional market share of value-added

Junho, 2024

This article extends the indicators developed to capture trade in value added to consider how countries are gaining or losing industries’ market share in domestic, regional, and global demand (the Access to Demand). It uses the most recent ICIO matrices of TiVA (OECD) to calculate the indicators for 69 countries and 16 manufacturing industries (+ modern services) from 2000 to 2018. Descriptive statistics are provided and analyzed for different regions of the globe. Countries that took advantage of trade globalization are those which have compensated for the loss of domestic market share by significantly increasing foreign and regional market share. Results also suggest the increasing importance of regional markets and South-South trade, as well as the need for considering industry heterogeneity to understand a country’s trade performance.

 

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