*! version 1.1.0 9mar2021
help icio (SJ22-1: st0651_1)

Title

icio -- Economic analysis with intercountry input-output
tables

Syntax

Load an intercountry input-output (ICIO) table (required to run icio)

icio_load, [icio_load_options]

Erase icio-related tables and ancillary files

icio_clean

List of countries and sectors in the loaded ICIO table

icio, info

Supply, final demand, and supply-final demand linkages

1. Gross domestic product (GDP):

icio, origin(country_code [, sector_code])
[standard_options]

2. Final demand:

icio, destination(country_code [,
sector_code])
[standard_options]

3. Value added by origin and final destination:

icio, origin(country_code [, sector_code])
destination(country_code [, sector_code])
[standard_options]

Value-added decomposition of trade flows and global value chain (GVC) participation

1. Value added and GVC participation in total exports of a country:

a. Value added and GVC participation in total aggregate exports:

icio, exporter(country_code)
[methods_1a]
[results_exports]
[origin_destination]
[standard_options]

b. Value added and GVC participation in total sectoral exports:

icio, exporter(country_code [, sector_code])
[methods_1b]
[results_exports]
[origin_destination]
[standard_options]

2. Value added and GVC participation in bilateral exports:

a. Value added and GVC participation in bilateral aggregate exports:

icio, exporter(country_code)
importer(country_code)
[methods_2a]
[results_exports]
[origin_destination]
[standard_options]

b. Value added and GVC participation in bilateral sectoral exports:

icio, exporter(country_code [, sector_code])
importer(country_code)
[methods_2b]
[results_exports]
[origin_destination]
[standard_options]

3. Value added in total imports of a country:

a. Value added in total aggregate imports:

icio, importer(country_code)
[method_3a]
[results_imports]
[origin_destination]
[standard_options]

b. Value added in total sectoral imports:

icio, importer(country_code [,
sector_code])
[method_3b]
[results_imports]
[origin_destination]
[standard_options]

Description

icio is suited to measure trade in value added as well as participation
in GVCs of countries and sectors by exploiting ICIO tables. It provides
decompositions of aggregate, bilateral, and sectoral exports, and it provides
imports according to the source and the destination of their value-added
content.

The icio_load command allows the user to work directly with the most
popular ICIO tables: the World Input-Output Database (WIOD) (Timmer et al.
2015), the Trade in Value-Added (TiVA) database (OECD 2018), the Eora Global
Supply Chain Database (Eora) (Lenzen et al. 2013), and the Asian Development
Bank (ADB) Multiregional Input-Output Table (MRIOT) Database. In addition, any
other user-provided ICIO table can be loaded (see the option user() of
icio_load). icio also allows the user to work with user-defined
groups of countries, which means that output measures can be computed for a
country group (for example, the "Euro area", "MERCOSUR", or "ASEAN") as a whole
while accounting for the specific supply/demand/trade structure of each member
of the group (see the option groups() for more details).

icio encompasses the most relevant measures of value added in exports and
imports at different levels of aggregation. It closely follows the accounting
framework presented in Borin and Mancini (2019), which in turn extends,
refines, and reconciles the other main contributions in this strand of the
literature (see Johnson and Noguera [2012]; Wang, Wei, and Zhu [2013]; Koopman,
Wang, and Wei [2014]; Borin and Mancini [2015]; Los, Timmer, and de Vries
[2016]; Nagengast and Stehrer [2016]; Johnson [2018]; Miroudot and Ye [2018];
and Los and Timmer [2018]). A key feature of the conceptual scheme proposed by
Borin and Mancini (2019) is that different empirical questions call for
distinct accounting methods, along with different levels of aggregation of
trade flows. The icio command shares the same rationale.

According to the specific empirical application, the user should select the
following:

1) A certain type of trade flow (that is, aggregate
exports or imports, sectoral exports or imports, bilateral flows, and
sectoral-bilateral flows), through the option
exporter(country_code [, sector_code]) or
importer(country_code [, sector_code]).

2) A certain accounting methodology that can be
specified using the perspective() and approach() options;
otherwise, default options are applied. These accounting methodologies differ
in the way double-counted components are computed. "Double counted" refers to
items that are recorded several times in a given gross trade flow because of
the back-and-forth shipments that occur in a cross-national production process.
(See Borin and Mancini [2019] and the Examples section
for a mapping of the questions under investigation and the accounting methods
needed to address them.)

3) The desired output measures. The
possibility to choose among different output measures allows the user to
address a wide range of empirical issues.

Moreover, the origin(country_code [, sector_code]) and
destination(country_code [, sector_code]) options can always be specified
to select the country or sector where the trade value is produced (origin) and
the country or sector where it is absorbed by final demand (destination).

The icio command allows the user to reproduce many of the measures of
trade in value added proposed in the literature; however, they are not computed
using the original formulations whenever they have been found to be inexact or
imprecise. For instance, a corrected version of the Koopman, Wang, and Wei
(2014) decomposition of aggregate exports can be computed as
icio, exporter(country_code)
perspective(world) approach(sink).

For export flows at different disaggregation levels, it is also possible to
compute the value of trade that is related to GVCs, that is, that crosses more
than one border. The backward and forward GVC participation measures are based
on Borin and Mancini (2015, 2019), who consistently refine the vertical
specialization index proposed by Hummels, Ishii, and Yi (2001).

When neither the exporter() nor the importer() option is specified, the
icio command can be used to compute the GDP (that is, value added)
produced by a given country or industry (origin()), to measure final
demand in different countries and sectors (destination()), or a
combination of the two.

Options

Load an ICIO table (required to run icio):

icio_load_options

iciotable(table_name [, usertable_options])

specify the ICIO table to be used for the analysis; default is wiodn,
the last WIOD release available

year(#) set the year to be used for analysis; default is
the last available year: year(2014) for the WIOD tables (wiodn),
year(2015) for the TiVA tables (tivan),
year(2015) for the Eora Global Supply Chain Database tables (eora),
year(2019) for the ADB MRIOT Database (adb); not needed for
user-provided tables

info show data sources and versions of the loadable ICIO
tables

table_name

wiodn WIOD, last version; see Timmer et al. (2015) and the WIOD website

tivan OECD TiVA tables, last version; see OECD (2018) and the dedicated OECD website

eora Eora tables; see Lenzen et al. (2013) and https://worldmrio.com/

adb ADB MRIOT tables; see the ADB MRIOT Database at https://mrio.adbx.online/

wiodo WIOD, previous version

tivao OECD TiVA tables, previous versions

user user-created tables; this option allows icio to work with tables that have been downloaded and formatted by the user; details on the required format are specified in the remarks below

usertable_options

*userpath(string) specify the full path to a folder containing
two user-defined files: the user-defined table and country-list
files

*tablename(string) specify the name of the user-created
table

*countrylistname(string) specify the name of the
user-created country list

*
Only when user is specified in icio_table()

Remarks on user-provided tables:

icio user-created tables and related country lists must be provided in
.csv format. The table's .csv file must contain only one matrix
of dimension (GxN)x(GxN+GxU), where G is the number of countries, N is the
number of sectors, and U is the number of uses (that is, consumption,
investment, etc.). As a purely illustrative example, consider the case of
importing an input-output table from the WIOD 2016 release.(+) In this case,
the matrix dimension in the user-provided .csv file should be
(44x56)x(44x56+44X5) -- that is, 2464x2684 -- because G=44, N=56, and U=5.
Thus, considering a standard Excel file of a WIOD table (release 2016)
downloaded from the official website, the user-provided .csv should
include only data in the cell range E7 to CYJ2470. More in general, country
and sector labels, total output, total consumption, and total value added must
not be included in the .csv. The country list's .csv file must
only contain a vector (Gx1) of country names, reflecting the same order
adopted in the provided table's .csv file.

(+) The user does not need to manually import
WIOD, TiVA, Eora, or ADB tables; they are already included in the icio
package and can be loaded using the icio_load command with the
appropriate options. See icio_load_options.

Remarks on icio_clean:

icio_clean can be used to free space on the hard disk. It deletes any
ICIO table or ancillary file downloaded by the user through the icio_load
command. These files are stored automatically in the system directory
../ado/plus/i, which is also where the icio suite is stored.

Supply, final demand, and supply-final demand linkages:

Through basic input-output accounting, icio can display the GDP (that
is, value added) produced by a given country or industry (origin of the value
added), the final demand in different countries and sectors (destination of
the value added), or a combination of the two. The desired measure is
selected with the options
origin(country_code [, sector_code]) and
destination(country_code [, sector_code]). Results for all countries or
all sectors can be computed and displayed simultaneously, using the option
all for country_code or sector_code. Note that within a
specific origin() or destination() option, country_code and
sector_code cannot both be all at the same time.

1. Gross domestic product (GDP):

Display the value added produced in a selected country or sector. All
countries or all sectors can be selected at once with the option all.
Examples are

. icio, origin(usa)

. icio, origin(deu,18)

. icio, origin(all,18)

. icio, origin(deu,all)

2. Final demand:

Display the final demand absorbed in a selected country or sector. All
countries or all sectors can be selected at once with the option all.
Examples are

. icio, destination(usa)

. icio, destination(deu,18)

. icio, destination(all,18)

. icio, destination(deu,all)

3. Value added by origin and final destination:

Display the value added originated in a selected country or sector and
absorbed by the final demand of a selected country or sector. All countries or
all sectors of origin as well as all countries or all sectors of final demand
can be selected at once with the option all. Examples are

. icio, origin(deu) destination(chn)

. icio, origin(all) destination(chn)

. icio, origin(deu,8) destination(chn,9)

. icio, origin(deu,all) destination(chn,all)

Value-added decomposition of trade flows and GVC participation in exports:

Depending on the specific empirical application, the user can choose the
appropriate options to select i) the desired
trade flow; ii) the best-suited
accounting methodology to single out double-counted
components, that is, items that are recorded several times in gross trade; or
iii) the appropriate
output measures.

i) Selection of trade flow:

Through the options exporter(country_code [, sector_code]) and
importer(country_code [, sector_code]), the user chooses to retrieve
information on

1a. The total aggregate exports of a country

Example: icio, exporter(usa)

1b. The total sectoral exports of a country

Example: icio, exporter(deu,20)

2a. The bilateral aggregate exports of a country toward an importing
partner

Example: icio, exporter(chn) importer(usa)

2b. The bilateral sectoral exports of a country toward an importing
partner

Example: icio, exporter(deu,20) importer(usa)

3a. The total aggregate imports of a country

Example: icio, importer(usa)

3b. The total sectoral imports of a country

Example: icio, importer(usa,20)

ii) Accounting methodology:

The options perspective() and approach() can be used to select the
accounting methodology best suited to the specific phenomenon under
investigation. In particular, the option perspective() defines the
"perimeter" according to which something is classified as value added or
double counted. For instance, the boundaries may be defined at the level of
the exporting country (or the importing one), of a specific bilateral
relation, or of a single exporting sector within a bilateral flow. The
perspective may differ from the level of disaggregation of trade flow that is
considered (that is, the perimeter that identifies the perspective can be set
at a more aggregate level compared with the selected trade flow). For
instance, if the question is what part of a country's GDP is exported, it will
be necessary to select exporter(country_code) and
perspective(exporter) as options, such that the exporting country's
frontiers as a whole constitute the perimeter that matters in deciding whether
or not a certain item has to be classified as domestic value added (GDP) or
double counted. The perspective(exporter) option must also be used when
one seeks a measure of value added in sectoral or bilateral exports that can
be added up to the exporter's GDP in its total exports.

Alternative perspectives are better suited to address other issues. For
instance, if we are interested in measuring the exporter's value added that is
exposed to a tariff imposed on a given sector from a certain partner, we want
to consider as value added the entire GDP that is involved in this
sectoral-bilateral relationship, even if part of that was previously exported
to other countries or sectors (that is, classified as domestic double counting
when perspective(exporter) is selected). In this case, the option
perspective(sectbil) has to be chosen so that the specific
sectoral-bilateral relationship becomes the new relevant perimeter, and only
the items that enter multiple times in this trade flow are considered as
double counted. Whenever an exporting country is specified, the icio
command always allows the user to select perspective(exporter) as an
option, while perspective(sectexp), perspective(bilateral), and
perspective(sectbil) are available only for sectoral, bilateral, and
sectoral-bilateral flows, respectively.

For the aggregate exports of a country,
perspective(world) is an option that is applied to the accounting of
foreign value added (FVA), as in Koopman, Wang, and Wei (2014) and Miroudot and
Ye (2018). According to this perspective, a certain item is considered as FVA
only the first (or the last) time it crosses a foreign border, whereas all the
other times it crosses any foreign border, it is classified as double counted.
Thus, by using perspective(exporter), a certain item is accounted for as
FVA only once in the total exports of a country, whereas
perspective(world) requires it to be accounted for as FVA only once in
total world exports.

When exporter() is not specified, icio allows only
perspective(importer) for aggregate imports and
perspective(sectimp) for sectoral imports. The former should be adopted
to compute the value added of a given country that enters, directly or
indirectly, in the total imports of a given country; the latter should be
adopted to compute the value added that enters in a specific sector of
import.

Whenever the perspective is set at a more aggregate level compared with the
considered trade flow, the option approach() can also be defined to
choose in which disaggregated flow a certain item should be accounted for as
value added or double counted. Suppose, for instance, that along the
production process a certain item is exported by country A first to country B
and then to country C. By choosing approach(source), the item is
classified as value added the first time it leaves the national border (that
is, in the exports toward B), whereas the sink-based approach considers it as
value added the last time it crosses the border (that is, in the exports
toward C). The choice between the two approaches depends on the particular
empirical issue we want to address. The source approach is designed to examine
the production linkages and the country or sector participation to different
types of production processes and to study the features of the production
processes in which export flows are involved. Conversely, the value added in
the sink-based approach is recorded as closely as possible to the moment when
it is ultimately absorbed. This makes it more suited to studying the
relationship between value added in exports and final demand.

All the perspective() and approach() options available for the
different trade flows are reported here.

1. Value added and GVC participation in total exports of a country:

a. Value added and GVC participation in total aggregate exports:

methods_1a

perspective(exporter) the default

perspective(world) world perspective for FVA accounting; this
perspective entails the selection of approach(source) (the default) or
approach(sink)

b. Value added and GVC participation in total sectoral exports:

methods_1b

perspective(exporter) the default; allow the user to display
results for each exporting sector at once by setting sector_code as
all

perspective(sectexp) entail the selection of
approach(source) (the default) or approach(sink)

2. Value added and GVC participation in bilateral exports:

a. Value added and GVC participation in bilateral aggregate exports:

methods_2a

perspective(exporter) the default

perspective(bilateral) entail the selection of
approach(source) (the default) or approach(sink)

b. Value added and GVC participation in bilateral sectoral exports:

methods_2b

perspective(exporter) the default; allow the user to display
results for each exporting sector at once by setting sector_code as
all

perspective(sectbil) entail the selection of
approach(source) (the default) or approach(sink)

3. Value added in total imports of a country:

a. Value added in total aggregate imports:

method_3a

perspective(importer) the default

b. Value added and GVC participation in bilateral sectoral exports:

method_3b

perspective(sectimp) the default

iii) Return and other options:

For the selected trade flow, icio allows the user to compute the main
indicators of gross trade and value added by specifying the return()
option. For export flows, the default return option, return(detailed),
shows a complete value-added decomposition of the trade flows according to the
conceptual scheme proposed by Koopman, Wang, and Wei (2014) and refined by
Borin and Mancini (2019). Gross trade, gtrade, is first split into the
part that is originally produced by the exporting country (domestic content,
dc) and the part that is produced abroad (foreign content, fc); in
turn, each of these components is broken down into part value-added item
(domestic value added, dva, and FVA, fva) and part
double counting. The methodology used to single out the value-added and
double-counted components changes according to the selected perspective or
approach options (while gtrade, dc, and fc measures are, by construction, the same for all the accounting methodologies).

The detailed output also includes additional indicators of trade in value added
that have been singled out in the literature (for example, value added to gross
exports by Johnson and Noguera [2012]; reflection by Koopman, Wang, and Wei
[2014]; value added absorbed by bilateral importers and directly absorbed value
added in exports by Borin and Mancini [2015, 2019]). The additional indicators
that are included in the detailed output vary consistently with the selected
perspective or approach.

Instead of the whole detailed output, the user can compute only one of the main
trade indicators by choosing one of the following return() options:
gtrade, dc, dva, fc, or fva.

In addition to value-added and gross trade measures, for any export flow, it is
also possible to compute the value of trade that is related to GVCs, as
developed in Borin and Mancini (2015). The GVC-related trade includes all
the traded items that cross at least two international borders, that is, that
are reexported at least once. The backward and forward GVC participation
measures are based on Borin and Mancini (2019), which consistently refine the
vertical specialization index proposed by Hummels, Ishii, and Yi (2001).
GVC-related indicators that are subcomponents of the selected export flow are
shown in the detailed output by default (or when perspective(exporter)
and approach(source) are specified). Alternatively, it is possible to
obtain a single measure of GVC trade by specifying gvc, gvcb, and
gvcf as arguments of the return() option for total, backward, and
forward GVC indicators, respectively.

For value added and GVC indicators of the selected trade flow, it is also
possible to single out the country or sector where the goods and services were
originally produced by specifying the
origin(country_code [, sector_code]) option, as well as the market or
sector where it is absorbed in final demand by specifying the
destination(country_code [, sector_code]) option. When one seeks a
measure of value added produced by a specific country or sector, the option
return(va) should be specified. When the country in
origin() corresponds to that specified in exporter(), icio
provides the same results when selecting return(dva) or
return(va).

return() options and the other options available for export and import
trade flows are reported here.

Return options for

decomposition of exports Description

detailed request detailed decomposition; default
if origin() or destination() is not specified

gtrade request gross trade; default if
origin() or destination() is specified

va request value added

dc request domestic content (dva+domestic double counting)

dva request domestic value added

fc request foreign content (fva+foreign double counting)

fva request FVA

gvc request GVC-related trade (gvcb+gvcf); can be computed
only if perspective(exporter) and approach(source) are selected

gvcb request backward GVC-related trade; can be computed only
if perspective(exporter) and approach(source) are selected

gvcf request forward GVC-related trade; can be computed only
if perspective(exporter) and approach(source) are selected

Return options for

decomposition of imports Description

gtrade request gross trade; default

va request value added

Origin and destination of

the decomposed trade flow Description

origin(country_code [, sector_code])

request the country or sector where the trade value is produced;
use all for country_code or sector_code to display all countries or all sectors simultaneously

destination(country_code [, sector_code])

request
the country or sector where the trade value is absorbed by final demand;
use all for country_code or sector_code to display all countries or all sectors simultaneously

standard_options

save(filename [, save_options])

save icio output (scalar, vector, or matrix) to an Excel file (with .xlsx extension)

groups(grouping_rule group_name [, ...])

specify a user-defined grouping of countries to compute output
measures for a country group (for example, the "Euro area", "MERCOSUR", or
"ASEAN") as a whole while taking into account the specific supply/demand/trade
structure of each member of the group; to define one or more country groups,
list comma-separated country codes (grouping_rule) followed by a
user-defined group_name; for example, if
groups(prt, esp, ita, cyp, grc, mlt, tur "south_europe") is specified,
the group "south_europe" will be created including Portugal, Spain, Italy,
Cyprus, Greece, Malta, and Turkey; the comma-separated list of country codes
prt,esp,ita,cyp,grc,mlt, tur is the grouping_rule, while
"south_europe" is the user defined group_name; run icio, info
for the list of available country codes for the currently loaded input-output
table

save_options

replace overwrite an existing Excel file

modify modify an existing Excel file

sheet(sheetname [, replace]) specify the
worksheet to use; default sheet name is icio_out

Examples

Setup:

Load a specific year of the WIOD (last version) table

. icio_load, iciotable(wiodn) year(2014)

Display available country and sector codes for the loaded table

. icio, info

Supply-final demand linkages:

What is the GDP (value added) produced by each country?

. icio, origin(all)

How much value added does each country produce in a given sector (for
example, sector code 19)?

. icio, origin(all,19)

What is the aggregate final demand of each country?

. icio, destination(all)

What is the value added originated in Germany and absorbed in
China?

. icio, origin(deu) destination(chn)

Where is the value added produced in the Italian sector 19
absorbed?

. icio, origin(ita,19) destination(all)

Which final-demand sectors in China are the most important for the
absorption of U.S.-made value added?

. icio, origin(usa) destination(chn,all)

Where is the GDP produced in each country absorbed (and save the output
as "supply_demand" Excel file in the current working directory)?

. icio, origin(all) destination(all) save(supply_demand)

How much is the U.S.-Mexico-Canada Agreement (formerly North
American Free Trade Agreement) countries' final demand in sector 20 satisfied
by Chinese productions?

. icio, origin(chn) destination(usmca,20) groups(usa, mex, can, "usmca")

Value-added trade and GVC participation:

Which part of a country's total exports is home produced, that is, is
domestic GDP?

. icio, exporter(deu) return(dva)

Which part of a country's total exports can be traced back to other
countries' GDP?

. icio, exporter(deu) return(fva)

Where is the FVA in German exports produced?

. icio, origin(all) exporter(deu) return(fva)

Considering the bilateral exports from Italy to Germany, where is the
Italian GDP (domestic value added) reexported by Germany absorbed?

. icio, exporter(ita) importer(deu) destination(all) return(dva)

How can the complete breakdown by origin and destination of the value
added (both domestic and foreign) for Chinese exports to the U.S. be
obtained?

. icio, origin(all) exporter(chn) importer(usa) destination(all) return(va) save(CHN_to_USA)

How can the (corrected) Koopman, Wang, and Wei (2014) decomposition be
retrieved?

. icio, exporter(deu) perspective(world) approach(sink)

Which share of German exports is related to GVC, that is, cross more
than one border?

. icio, exporter(deu) return(gvc)

Which share of German exports is related to backward and forward
GVC?

. icio, exporter(deu) return(gvcb)

. icio, exporter(deu) return(gvcf)

It is possible to get a detailed assessment of trade in
value added and GVC participation regarding a certain trade flow by
running the following:

. icio, exporter(deu)

. icio, exporter(usa) importer(chn)

. icio, exporter(deu,19) importer(chn)

Trade policy analysis:

What is the Chinese GDP that at any point in time passes through a
certain bilateral trade flow, say, Chinese exports to the U.S.? In other terms,
what is the Chinese GDP potentially exposed to U.S. tariffs on imports from
China?

. icio, exporter(chn) importer(usa) perspective(bilateral) return(dva)

What is the German GDP potentially exposed to U.S. tariffs on all
imports?

. icio, origin(deu) importer(usa) perspective(importer) return(va)

What is the German GDP that could be affected by U.S. tariffs on imports
in sector 20?

. icio, origin(deu) importer(usa,20) perspective(sectimp) return(va)

What is the exposure of U.S. GDP to a Chinese tariff on U.S. imports in
sector 17?

. icio, exporter(usa,17) importer(chn) perspective(sectbil) return(dva)

To what extent are Italian sectors exposed to a shock on Germany's exports
in sector 20?

. icio, origin(ita,all) exporter(deu,20) perspective(sectexp) return(va)

Miscellaneous:

Store results in an Excel file

. icio, exporter(usa,all) save(USA_exports_decomp.xls)

Display (and save) large dimension results

. icio, exporter(usa,all) save(USA_exports_decomp.xls)

. matlist r(detailed)

. icio, origin(all) destination(all) save(supply_demand.xls)

. matlist r(vby)

Load a user-created table

. icio_load, iciotable(user, userp(path_to_the_table_folder) tablename(ADB_2011.csv) countrylist(adb_countrylist.csv))

Compute the detailed decomposition for a list of countries and store
the results in two matrices (dollar values and shares)

. loc countries "ita deu fra esp"

. foreach c of local countries {

. quietly icio, exporter(`c')

. mata st_matrix("total_exports", st_matrix("r(detailed)")[.,1])

. mat results_dollars = nullmat(results_dollars), total_exports

. mata st_matrix("total_exports_shares", st_matrix("r(detailed)")[.,2])

. mat results_shares = nullmat(results_shares), total_exports_shares

. }

. matlist results_dollars

. matlist results_shares

Stored results

icio stores the following in r():

Macros

r(cmd) icio

r(table) name of the loaded table

r(year) year of the loaded table

r(version) vintage of the loaded table

r(exporter) exporter country

r(importer) importer country

r(perspective) perspective

r(approach) approach

r(origin) origin country

r(destination) destination country

r(output) output detail

Matrices

r(vby) matrix containing the results of the supply-final demand analysis

r(detailed) matrix containing the detailed results of the value-added decomposition of trade

r(gtrade) matrix containing the gross trade

r(va) matrix containing the value added

r(dc) matrix containing the domestic content

r(dva) matrix containing the domestic value added

r(fc) matrix containing the foreign content

r(fva) matrix containing the FVA

r(gvc) matrix containing the GVC-related exports

r(gvcb) matrix containing the GVC-related exports, backward

r(gvcf) matrix containing the GVC-related exports, forward

Remarks

The return() option replaces the output() option available in
previous versions of icio. Nonetheless, we leave the output()
option working for backward compatibility.

Citations

icio is not an official Stata command. It is a free contribution to the
research community. See
tradeconomics.com/icio/ for
information on the latest updates. Please cite it as follows:

Belotti, F., A. Borin, and M. Mancini. 2021.
icio: Economic analysis with intercountry input-output tables.
Stata Journal 21: 708-755.
https://doi.org/10.1177/1536867X211045573.

When measures of value added in trade and GVC participation are used, please
also cite the following:

Borin, A., and M. Mancini. 2019.
Measuring what matters in global value chains and value-added trade.
Policy Research Working Paper WPS 8804;
WDR 2020 Background Paper,
World Bank Group, Washington, DC.
https://documents.worldbank.org/curated/en/639481554384583291/Measuring-What-Matters-in-Global-Value-Chains-and-Value-Added-Trade.

Remember to cite the original reference of the ICIO database you are using
with icio.

Furthermore, you can cite the other works that have contributed to the
development of each specific measure (see Borin and Mancini [2019] for a
critical discussion of the different accounting methodologies proposed in the
literature).

References

Borin, A., and M. Mancini. 2015.
Follow the value added: Bilateral gross export accounting.
Economic Working Papers 1026,
Bank of Italy.

------. 2019.
Measuring what matters in global value chains and value-added trade.
Policy Research Working Paper WPS 8804;
WDR 2020 Background Paper,
World Bank Group, Washington, DC.

Hummels, D., J. Ishii, and K. M. Yi. 2001.
The nature and growth of vertical specialization in world trade.
Journal of International Economics 54: 75-96.
https://doi.org/10.1016/S0022-1996(00)00093-3.

Johnson, R. C. 2018.
Measuring global value chains.
Annual Review of Economics 10: 207-236.
https://doi.org/10.1146/annurev-economics-080217-053600.

Johnson, R. C., and G. Noguera. 2012.
Accounting for intermediates: Production sharing and trade in value added.
Journal of International Economics 86: 224-236.
https://doi.org/10.1016/j.jinteco.2011.10.003.

Koopman, R., Z. Wang, and S. Wei. 2014.
Tracing value-added and double counting in gross exports.
American Economic Review 104: 459-494.
https://doi.org/10.1257/aer.104.2.459.

Lenzen, M., D. Moran, K. Kanemoto, and A. Geschke. 2013.
Building Eora: A global multiregion input-output database at high country and sector resolution.
Economic Systems Research 25: 20-49.
https://doi.org/10.1080/09535314.2013.769938.

Los, B., and M. P. Timmer. 2018.
Measuring bilateral exports of value added: A unified framework.
NBER Working Paper No. 24896,
The National Bureau of Economic Research.
https://doi.org/10.3386/w24896.

Los, B., M. P. Timmer, and G. J. de Vries. 2016.
Tracing value-added and double counting in gross exports: Comment.
American Economic Review 106: 1958-1966.
https://doi.org/10.1257/aer.20140883.

Miroudot, S., and M. Ye. 2018.
Tracing value-added and double counting in sales of foreign affiliates and domestic-owned companies.
MPRA Paper 85723,
University Library of Munich.
https://mpra.ub.uni-muenchen.de/85723/1/MPRA_paper_85723.pdf.

Nagengast, A. J., and R. Stehrer. 2016.
Accounting for the differences between gross and value-added trade balances.
World Economy 39: 1276-1306.
https://doi.org/10.1111/twec.12401.

OECD. 2018.
Trade in Value Added database.
oe.cd/tiva and
http://www.oecd.org/sti/ind/inter-country-input-output-tables.htm.

Timmer, M. P., E. Dietzenbacher, B. Los, R. Stehrer, and G. J. de Vries. 2015.
An illustrated user guide to the world input-output database: The case of global automotive production.
Review of International Economics 23: 575-605.
https://doi.org/10.1111/roie.12178.

Wang, Z., S.-J. Wei, and K. Zhu. 2013.
Quantifying international production sharing at the bilateral and sector levels.
NBER Working Paper No. 19677,
The National Bureau of Economic Research.
https://www.nber.org/papers/w19677.

Authors

Federico Belotti

Department of Economics and Finance

University of Rome Tor Vergata

Rome, Italy

federico.belotti@uniroma2.it

Alessandro Borin

Directorate General for Economics, Statistics, and Research

Bank of Italy

Rome, Italy

alessandro.borin@bancaditalia.it

Michele Mancini

Directorate General for Economics, Statistics, and Research

Bank of Italy

Rome, Italy

michele.mancini@bancaditalia.it

Also see

Article: Stata Journal, volume 22, number 1: st0651_1,

Stata Journal, volume 21, number 3: st0651