Abstract
This paper examines the impact of barriers to trade in digital services on the quality of national value chains (NVCs) and and explores production specialization as a mitigation strategy. Utilizing an integrated production and trade model, we measure the quality of NVCs using multidimensional indicators. The study analyzes data from 47 economies across 35 sectors over a period from 2014 to 2020, highlighting significant adverse effects of digital trade barriers, especially in economies that are high-income, highly open to trade, and extensively informatized. In contrast, our analysis suggests that bolstering production specialization within these value chains can effectively mitigate such detrimental effects.The research underscores the critical need for a strategic and responsive policy framework that encourages the diversification and enhancement of production capabilities.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
