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GTAP Resource #6536

"Trade flows treatment in multi-regional input-output tables"
by Kutlina-Dimitrova, Zornitsa, Jose Manuel Rueda-Cantuche and Pablo Pinero

Multi-regional input-output tables (MRIOs) and models are the working horse upon which quantitative assessment of trade policy has been based as they provide a balanced view of the production and value-added composition of downstream and upstream industries across sectors and borders. Having said that, it is not well known that trade flows at sectoral and country level in MRIOs differ in size in some cases substantially due to the different methodology used in National Accounts to register trade flows (e.g. ownership principle) and the need to treat re-exports in the compilation of MRIO databases. For some years, there are double-digit differences across MRIOs even in aggregate trade flows. This obviously can have severe implications for modelling and quantitative results of trade policy analysis.
Against this background, our research deals with the identification and quantification of regional and sector specific differences in trade flows across three MRIOs: FIGARO, OECD and WIOD. The paper quantifies the impact of such divergences on the economic aggregates, looks into the reasons for the (large) differences in trade data, and provides indications of their impact for trade policy analysis. Furthermore, the paper proposes key areas of future research to overcome such differences in next releases of MRIOs.

Resource Details (Export Citation) GTAP Keywords
Category: 2022 Conference Paper
Status: Not published
By/In: Presented during the 25th Annual Conference on Global Economic Analysis (Virtual Conference)
Date: 2022
Created: Kutlina-Dimitrova, Z. (4/13/2022)
Updated: Kutlina-Dimitrova, Z. (4/13/2022)
Visits: 595
- Other data bases and data issues
- European Union

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