Global Production Chains and Export Survival

In this article, we empirically investigate the role of global production chains (GPCs) in export survival by using highly disaggregated machinery exports data from Turkey for the period 1998-2013. We contribute to the literature by offering alternative indicators adopted from intra-industry trade t...

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Bibliographic Details
Published in:Eastern European economics 2019-03, Vol.57 (2), p.103-129
Main Authors: Türkcan, Kemal, Saygili, Hülya
Format: Article
Language:English
Subjects:
export duration
fragmentation of production
global production chains
parts and components trade
survival analysis
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Summary:In this article, we empirically investigate the role of global production chains (GPCs) in export survival by using highly disaggregated machinery exports data from Turkey for the period 1998-2013. We contribute to the literature by offering alternative indicators adopted from intra-industry trade to represent more effectively the extent of GPC in a survival analysis. Based on the estimation of a discrete-time logit model with random effects, we find that GPCs have a strong positive influence on the survival probability of Turkey's machinery exports. This impact is even stronger if trade involves vertically differentiated trade and parts and components in particular.
ISSN:0012-8775
1557-9298
DOI:10.1080/00128775.2018.1539335