Korea Trade Review (무역학회지)

Korea Trade Research Association (한국무역학회)
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Foreign Direct Investment(FDI), GVC Participation and Trade in Value Added

외국인 직접 투자(FDI)가 GVC 참여도와 수출 부가가치에 미치는 영향

  • Li, Jia-En (Department of International Business and Trade, Kyung Hee University) ;
  • Ling, Yin (Department of International Business and Trade, Kyung Hee University) ;
  • Choi, Young-Jun (Department of International Business and Trade, Kyung Hee University)
  • 이가은 (경희대학교 무역학과) ;
  • 인령 (경희대학교 무역학과) ;
  • 최영준 (경희대학교 무역학과)
  • Received : 2019.09.20
  • Accepted : 2019.10.21
  • Published : 2019.10.31
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Abstract

This study analyzes the effects of FDI on the global value chain (GVC) using participation and export value added using panel data from 2005 to 2016 for 63 countries. This study used the GLS method. Results are as follows: First, foreign direct investment had a positive impact on the global value chain (GVC) participation and export value added of non-OECD economies. Furthermore, tariff rates were more sensitive to non-OECD countries than OECD countries. In addition, logistics infrastructure had a negative impact on global value chain (GVC) participation and export value added, while developed countries, such as OECD countries, with good infrastructure, had a positive impact on non-OECD countries. Finally, research and development costs have been shown to play a very important role in non-OECD countries. This study found that various service sectors, such as research and development (R & D) as well as the general manufacturing industry, are expanding beyond two countries to form global value chains (GVC) in which several countries are connected from production to consumption.

Keywords

Acknowledgement

This work was supported by the Ministry of Education of the Republic of Korea and the National Research Foundation of Korea (NRF-2016S1A2A3913925).

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