Production Networks And Enterprises In East Asia: Industry And Firm-level Analysis (adb Institute Series On Development Economics)

The book provides a comprehensive examination of patterns and determinants of production networks in East Asia, a key driver in the region’s global success. It provides the reader with an accessible understanding of the theoretical literature on production networks and recent developments in empirical analysis at the industry and firm-levels. The topics covered in the book include: gross trade in parts and components and gravity models, trade in value added, industry case studies, and micro data econometric studies of firm heterogeneity in production networks. The micro data econometric studies explore key aspects of the heterogeneity of firms in East Asian production networks such as technological capability, the entry of small and medium enterprises into production networks, business use of free trade agreements, and access to credit. Blending new sources of data, empirical tools and econometric methods this book is highly recommended for readers who seek to understand the workings of the complex web of production networks in East Asia. Front Matter....Pages i-xiii Front Matter....Pages 1-1 Introduction....Pages 3-19 Toward “Trade Policy Analysis 2.0”: From National Comparative Advantage to Firm-Level Trade Data....Pages 21-31 Production Networks in East Asia: What We Know So Far....Pages 33-64 Front Matter....Pages 65-65 The Changing Nature of the Production Network in East Asia....Pages 67-86 Exports of Parts and Components by Different Types of Firms in the People’s Republic of China: A Comprehensive Examination....Pages 87-112 The Evolution of Industrial Networks in East Asia: Stylized Facts and Role of Trade Facilitation Policies....Pages 113-138 Production Networks in Asia: A Case Study from the Hard Disk Drive Industry....Pages 139-157 Front Matter....Pages 159-159 Production Networks, Profits, and Innovative Activity: Evidence from Malaysia and Thailand....Pages 161-183 Understanding Innovation in Production Networks in Firms in the People’s Republic of China, Thailand, and the Philippines....Pages 185-205 SME Internationalization Through Global Value Chains and Free Trade Agreements: Evidence from Malaysia....Pages 207-227 SME Finance and Trade at the Firm-Level: Evidence from the People’s Republic of China and ASEAN Economies....Pages 229-256 Front Matter....Pages 257-257 Global Value Chains and Least Developed Countries in Asia: Cost and Capability Considerations in Cambodia and Nepal....Pages 259-288 Donor Support for Connecting Firms in Asia to Value Chains....Pages 289-311 Back Matter....Pages 313-326 The book provides a comprehensive examination of patterns and determinants of production networks in East Asia, a key driver in the region's global success. It provides the reader with an accessible understanding of the theoretical literature on production networks and recent developments in empirical analysis at the industry and firm-levels. The topics covered in the book include gross trade in parts and components and gravity models, trade in value added, industry case studies, and microdata econometric studies of firm heterogeneity in production networks. The microdata econometric studies explore key aspects of the heterogeneity of firms in East Asian production networks such as technological capability, the entry of small and medium-sized enterprises into production networks, business use of free trade agreements, and access to credit. Blending new sources of data, empirical tools, and econometric methods, this book is highly recommended for readers who seek to understand the workings of the complex web of production networks in East Asia. Ganeshan Wignaraja is advisor in the Economic Research and Regional Cooperation Department of the Asian Development Bank. Previously he was director of research of the Asian Development Bank Institute. He has a doctorate in economics from the University of Oxford and has published 15 books on international economics, regional integration, and economic development "The book provides a comprehensive examination of patterns and determinants of production networks in East Asia, a key driver in the region's global success. It provides the reader with an accessible understanding of the theoretical literature on production networks and recent developments in empirical analysis at the industry and firm-levels. The topics covered in the book include gross trade in parts and components and gravity models, trade in value added, industry case studies, and microdata econometric studies of firm heterogeneity in production networks. The microdata econometric studies explore key aspects of the heterogeneity of firms in East Asian production networks such as technological capability, the entry of small and medium-sized enterprises into production networks, business use of free trade agreements, and access to credit. Blending new sources of data, empirical tools, and econometric methods, this book is highly recommended for readers who seek to understand the workings of the complex web of production networks in East Asia."--Publisher's description Examines determinants of production networks in East Asia at industry and firm-levels. Covers gross trade in parts and components and gravity models, trade in value added, industry case studies, and micro data econometric studies of firm heterogeneity in production networks. Also explores heterogeneity of firms such as technological capability, entry of small and medium enterprises into production networks, business use of free trade agreements, and access to credit