Trade crisis and recovery: restructuring of Global Value Chains
Global value chains (GVCs) are international systems of production, typically governed by lead firms who coordinate elaborate networks of suppliers. The economic crisis has had a magnified effect on trade because of the prominence of GVC-based trade. This paper explores the role of GVCs in the 2009 global trade collapse and the prospects for world trade and its geographic distribution in light of the dynamics of GVCs. It outlines some policy conclusions for recovery strategies for developing countries.
Milberg, W.; Winkler, D. Trade crisis and recovery: restructuring of Global Value Chains. (2011) 4 pp. [Capturing the Gains Briefing Notes 01]