Economics of Global Value Chains

This course provides a comprehensive perspective on the economics of global value chains (GVCs). Students will study value chains from a micro and macro perspective. Attention will also be paid to the implications of value chain-related activities for economic growth and development. Moreover, the strong international focus of the course ensures that the situations of different actors in diverse economic environments are considered. This way a deep understanding of the functioning of the global economy in the age of GVCs is obtained.

The course consists of three blocs

►   Block 1 discusses Concepts and Theory

►   Block 2 consists of Lab Sessions

►   Block 3 discusses Current Topics in the field of GVCs

Before delving into these topics, the course provides a brief historical introduction to globalisation and GVCs, discussing inter alia, the role of technology, transportation and communication costs as well as policy choices and the geo-political environment.

►   Block 1: Concepts and Theory

The course then proceeds with the discussion of a simple theoretical model that is capable of explaining the emergence of GVCs from a trade perspective and to GVC theory which help understanding the governance structures and power positions of firms within production networks.

►   Block 2: Lab Sessions

In this block we move from theory to applications. Notably, students will be exposed to the basics of international input-output methods. Using Python, we re-calculate and update existing results in the GVC literature based on GVC indicators. Data and semi-prepared codes will be provided to students during these lab-sessions. Successful completion of these lab sessions provides students with the necessary methodological skills for a Master thesis in the field of GVCs.  

►   Block 3: Current Topics

Having reached expert level, we proceed with discussing some important articles related to current questions and challenges such risks and resilience of global value or issues of sustainability.