Global Value Chains: Firm-Level Evidence from the United States

Research on Monday
cropped view of man getting US dollars out of a wallet

Using confidential microdata from the U.S. Census Bureau, we measure the extent of international inputs embodied in U.S. exports at the level of the establishment and firm, providing a new way to characterize global value chains (GVCs) in the United States between 2002-2017. 

Speaker
Aaron Flaaen
Date
Monday 10 Jun 2024, 11:30 - 12:30
Type
Seminar
Room
2-18
Building
Polak Building
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A direct link between imported inputs, production, and exports at a granular level provides a natural benchmark against which alternative measures of GVCs—such as those built from combining national-level input-output tables—can be assessed.  Such comparisons yield insights on the role of aggregation bias and proportionality assumptions on multi-country supply chain measurement. This new data resource provides a window into the ways U.S. firms are linked to multiple markets through both foreign sourcing and foreign sales. In addition, we quantify the roles of gravity and regional trade agreements on the magnitude and concentration of these multi-country linkages. The analysis provides insights into the factors influencing the flows of global value chains and their resilience.

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