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Value added content of trade: A comprehensive approach

Authors
Publisher
Elsevier B.V.
Volume
120
Issue
2
Identifiers
DOI: 10.1016/j.econlet.2013.05.003
Keywords
  • Value Added Trade
  • Vertical Specialization
  • Factor Content Of Trade

Abstract

Abstract This letter provides an approach to decompose the value added content of trade into foreign and domestic components when intermediates are traded. The measure adds to the existing literature by considering both exports and imports simultaneously. In this way this approach generalizes the commonly applied vertical specialization measures based on exports only which are encompassed.

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