Template-Type: ReDIF-Paper 1.0
Author-Name: Biswajit Banerjee
Author-Name-First: Biswajit
Author-Name-Last: Banerjee
Author-Email: biswajit.banerjee@ashoka.edu.in
Author-Workplace-Name:` Department of Economics, Ashoka University
Author-Name: Juraj Zeman
Author-Name-First: Juraj
Author-Name-Last: Zeman
Author-Email: juraj.zeman@nbs.sk
Author-Workplace-Name:` National Bank of Slovakia
Title: The Motor Vehicles Industry in Slovakia, 2005–2015
Abstract: This paper examines the evolution of the Slovak motor vehicles sector during 2005–2015, drawing on the latest update (December 2018) of OECD’s Inter-Country Input-Output (ICIO) model database. The review takes a global value chain (GVC) approach and looks at the linkages from the gross production and value added perspectives. The overall contribution of the motor vehicles sector to Slovakia’s gross production and domestic value added increased twofold during the reference period. There was an ongoing change in the structure of the GVC linkages. The reliance on domestically-sourced inputs increased over the years. The (indirect) value added created in the production of domestically-sourced inputs gradually approached the level of the (direct) value added generated within the motor vehicles sector. Subsequent to the global financial crisis, the share of intermediate goods in exports, the forward linkage of the GVC, and the upstreamness of the production process were all on a rising trend. The sourcing pattern of imports of intermediate inputs and the market for exports steadily shifted away from the euro area towards non-EU countries. It is estimated that a hypothetical 10 percent negative shock to global final demand for motor vehicles would lower Slovak GDP growth by 1 percentage point.
length: 25
Creation-Date: 20210302
Revision-Date: 
Publication-Status: 
File-URL: https://dp.ashoka.edu.in/ash/wpaper/paper56_0.pdf
File-Format: Application/pdf 
Number: 56
Keywords: Backward linkage
Keywords: Forward linkage
Keywords: GVC participation rate
Keywords: Length of GVC
Keywords: Position in GVC
Handle: RePEc:ash:wpaper:56