Participation in GVCs and the size of an economy – the case of developed and developing economies Cover Image

Udział w GVC a wielkość gospodarki – przypadek krajów rozwiniętych i rozwijających się
Participation in GVCs and the size of an economy – the case of developed and developing economies

Author(s): Małgorzata Fronczek
Subject(s): National Economy
Published by: Wydawnictwo Uniwersytetu Ekonomicznego we Wrocławiu
Keywords: trade in value added; globalization; international trade; global value chains; GVC

Summary/Abstract: The article aims to examine the relationship between the participation of developed and developing countries in GVCs and the size of their economies (GDP was adopted as a measure of the size of an economy). The results indicated a moderate but negative relationship between the GVC index and the GDP value, which means that larger countries were less involved in GVCs. However, the separation of developed countries from developing countries for the purpose of the analysis yielded interesting results. The calculations showed that the participation of developing countries in GVCs was on average only slightly weaker than the involvement of developed countries, but the relationship between the examined variables was only true for developed countries (the correlation coefficient indicated a moderate negative relationship). The participation of developing countries in GVCs, on the other hand, was not related to the size of their economies.

  • Issue Year: 64/2020
  • Issue No: 4
  • Page Range: 42-51
  • Page Count: 10
  • Language: English
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