Erol Taymaz
Department of Economics
Middle East Technical University
13 December 2017
Source: UNCTAD, 2013: 16.
Source: OECD, WTO and World Bank (2014: 14)
Source: UNCTAD (2013: 14)
Foreign value added share (foreign value added as a share of exports) indicates what part of a country’s gross exports consists of inputs that have been produced in other countries.
Domestic value added share (the share of the country’s value added incorporated in third countries gross exports) can be used as an indicator for the extent of participation in downstream activities.
GVC participation is simply the sum of foreign and domestic value added shares.