relation: http://eprints.imtlucca.it/4078/
title: Measuring the Input Rank in Global  Supply Networks
creator: Rungi, Armando
creator: Fattorini, Loredana
creator: Huremovic, Kenan
subject: HA Statistics
subject: HF Commerce
description: We introduce the Input Rank as a measure of relevance of direct and indirect suppliers  in Global Value Chains. We conceive an intermediate input to be more relevant for a  downstream buyer if a decrease in that input’s productivity affects that buyer more.  In particular, in our framework, the relevance of any input depends on: i) the network  position of the supplier relative to the buyer, ii) the patterns of intermediate inputs  vs. labor intensities connecting the buyer and the supplier, iii) and the competitive  pressures along supply chains. After we compute the Input Rank from both U.S. and  world Input-Output tables, we provide useful insights on the crucial role of services  inputs as well as on the relatively higher relevance of domestic suppliers and suppliers  coming from regionally integrated partners. Finally, we test that the Input Rank is a  good predictor of vertical integration choices made by 20,489 U.S. parent companies  controlling 154,836 subsidiaries worldwide.
date: 2020-09
type: Working Paper
type: NonPeerReviewed
format: application/pdf
language: en
rights: cc_by_nc
identifier: http://eprints.imtlucca.it/4078/1/EIC-WP_2-2020.pdf
identifier:   Rungi, Armando and Fattorini, Loredana and Huremovic, Kenan  Measuring the Input Rank in Global Supply Networks.  EIC working paper series    ISSN 2279 6894.