The rise and fall of countries in the global value chains.
Journal
Scientific reports
ISSN: 2045-2322
Titre abrégé: Sci Rep
Pays: England
ID NLM: 101563288
Informations de publication
Date de publication:
31 05 2022
31 05 2022
Historique:
received:
19
02
2022
accepted:
19
04
2022
entrez:
31
5
2022
pubmed:
1
6
2022
medline:
3
6
2022
Statut:
epublish
Résumé
Countries become global leaders by controlling international and domestic transactions connecting geographically dispersed production stages. We model global trade as a multi-layer network and study its power structure by investigating the tendency of eigenvector centrality to concentrate on a small fraction of countries, a phenomenon called localization transition. We show that the market underwent a significant drop in power concentration precisely in 2007 just before the global financial crisis. That year marked an inflection point at which new winners and losers emerged and a remarkable reversal of leading role took place between the two major economies, the US and China. We uncover the hierarchical structure of global trade and the contribution of individual industries to variations in countries' economic dominance. We also examine the crucial role that domestic trade played in leading China to overtake the US as the world's dominant trading nation. There is an important lesson that countries can draw on how to turn early signals of upcoming downturns into opportunities for growth. Our study shows that, despite the hardships they inflict, shocks to the economy can also be seen as strategic windows countries can seize to become leading nations and leapfrog other economies in a changing geopolitical landscape.
Identifiants
pubmed: 35641532
doi: 10.1038/s41598-022-12067-x
pii: 10.1038/s41598-022-12067-x
pmc: PMC9154043
doi:
Types de publication
Journal Article
Research Support, Non-U.S. Gov't
Langues
eng
Sous-ensembles de citation
IM
Pagination
9086Informations de copyright
© 2022. The Author(s).
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