Previous studies have argued that global value chains (GVCs) have increased the sensitivity of trade to external business cycle shocks. This may occur either because GVC trade is concentrated in durable goods industries, which are known to have high income elasticities (a composition effect), or...

The collapse of trade during the great recession of 2008–2009 has raised the question of whether the rise of global value chains (GVCs) has increased or accelerated the international transmission of business cycle shocks. In this paper, we empirically investigate two channels through which a...

Previous studies have argued that global value chains (GVCs) have increased the sensitivity of trade to external business cycle shocks. This may occur either because GVC trade is concentrated in durable goods industries, which are known to have high income elasticities (a composition effect), or...

We investigate whether global value chains have increased the sensitivity of Chinese trade to foreign income shocks. This may occur through either composition or supply chain effects. We find evidence for the former, but not the latter.

Purpose – This paper aims to examine the impact of oil prices on trade's sensitivity to distance. Furthermore, it seeks to investigate if the nature of trade and the type of goods have a mediating role on the oil prices' impact on trade. Design/methodology/approach – A set of gravity models...

The electronics industry has undergone a transformation from dominant vertically integrated firms to a system of lead firms that specialize in single slices of global value chains. We consider the role that modularization has played in this transformation, the insights this provides for our...