The rise and fall of countries in the global value chains.

ABSTRACT: Countries become global leaders by controlling international and domestic transactions connecting geographically dispersed production stages. We model global trade as a multi-layer network and study its power structure by investigating the tendency of eigenvector centrality to concentrate on a small fraction of countries, a phenomenon called localization transition. We show that the market underwent a significant drop in power concentration precisely in 2007 just before the global financial crisis. That year marked an inflection point at which new winners and losers emerged and a remarkable reversal of leading role took place between the two major economies, the US and China. We uncover the hierarchical structure of global trade and the contribution of individual industries to variations i

SUBMITTER: Alves LGA 

PROVIDER: S-EPMC9154043 | biostudies-literature | 2022 May

REPOSITORIES: biostudies-literature