International production networks in ASEAN economies

Taguchi, Hiroyuki and Murofushi, Harutaka (2014): International production networks in ASEAN economies. Published in: Chapter III, Report on the potentials of the Asian economic zones (March 2014): pp. 16-43.

Abstract

This chapter examines the international production network (IPN) development mainly by focusing on ASEAN economies. The emphases through the findings and observations can be highlighted as follows: the IPNs have actually been developed since 1990s in ASEAN, especially in Mekong region with rapid way; the IPN development has been accompanied with win-win relationships of industrial activities among ASEAN economies; and an economy’s IPN participation has contributed to its GDP growth with dynamic “smile curve” development path with upgrading industrial capacities. For further penetration of IPNs at the edge of ASEAN, there should be several issues to be cleared such as enhancing regional connectivity.

• Item Type: MPRA Paper
• Language: English
• Keywords: International production networks, ASEAN, Mekong region
• Subjects: F - International Economics > F2 - International Factor Movements and International Business > F23 - Multinational Firms ; International Business; O - Economic Development, Innovation, Technological Change, and Growth > O5 - Economywide Country Studies > O53 - Asia including Middle East

References

Amiti, M., 2005. Location of Vertically Linked Industries: Agglomeration versus Comparative Advantage, European Economic Review, Vol.49, No.4, pp.809-832.

Asian Development Bank (ADB), 2011. Asia 2050: Realizing the Asian Century, ADB, Manila.

Baldwin, R., 2006. Managing the Noodle Bowl: The Fragility of East Asian Regionalism, CEPR Discussion Paper, No. 5561.

Baldwin, R., 2012. Global Supply Chains: Why They Emerged, Why They Matter, and Where They Are Going, CEPR Discussion Paper, No. 9103.

Hausman, J.A., 1978. Specification Test in Econometrics, Econometrica, Vol. 46, No.6.

Hayakawa, K., Zheng, J.I. and Obashi, A., 2011. Spatial Distribution of Industrial Production: A Comparison of East Asia and Europe, The Developing Economies, Vol.49, No.4, pp.363-381.

Jones, R.W. and Kierzkowski, H., 1990. The Role of Services in Production and International Trade: A Theoretical Framework, in Jones, R. and Krueger, A. (Eds.), The Political Economy of International Trade: Essays in Honor of Robert E. Baldwin, Basil Blackwell, Oxford, pp.31-48.

Jones, R.W. and Kierzkowski, H., 2005. International Trade and Agglomeration: An Alternative Framework, Journal of Economics, Vol.10, No.S1, pp.1-16.

Kawai, M., 2009. International exchange and monetary system in East Asia, Financial Review, vol. 93, No. 1, pp. 176-194 (Japanese).

Kimura, F., 2006. International Production and Distribution Network in East Asia: Eighteen Facts, Mechanics, and Policy Implication, Asian Economic Policy Review, Vol.1, No.2, pp.326-344.

Kimura, F. and Ando, M., 2005. Two-dimensional Fragmentation in East Asia: Conceptual Framework and Empirics, International Review of Economics and Finance, Vol.14, No.3, pp.317-348.

Koopman, R., Wang, Z. and Wei, S.J., 2012. Tracing Value-added and Double Counting in Gross Exports, NBER Working Paper, No. 18579.

Krugman, P., 1991. Increasing Returns and Economic Geography, Journal of Political Economy, Vol.99, No.3, pp.483-499.

Krugman, P. and Venables, A., 1990. Integration and the Competitiveness of the Peripheral Industry, in Bliss, C. and Braga, D.M.J. (Eds.), Unity with Diversity in the European Economy: The Community’s Southern Frontier, Cambridge University Press, Cambridge, pp.56-75.

Taguchi, H., Matsushima, D. and Hayakawa, K., 2013. The Emerging Production Networks in Mekong Region, International Journal of Trade and Global Markets, forthcoming.

UNCTAD, 2013. World Investment Report - Global Value Chains: Investment and Trade for Development, UNCTAD.