TY  - RPRT
M1  - imt_eic_working_paper
N2  - 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.
SN  - 2279 6894
A1  - Rungi, Armando
A1  - Fattorini, Loredana
A1  - Huremovic, Kenan
UR  - http://eprints.imtlucca.it/4078/
KW  - Keywords: Global Value Chains; Input Output tables; production networks; vertical
integration; multinational enterprises; downstreamness
JEL Codes: F23; L23; D23; C63; C67
Y1  - 2020/09//
AV  - public
TI  - Measuring the Input Rank in Global
Supply Networks
CY  - Lucca
EP  - 44
ID  - eprints4078
ER  -