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TECHNOLOGICAL INNOVATION, SUPPLY CHAIN TRADE, AND WORKERS IN A GLOBALIZED WORLD GLOBAL VALUE CHAIN DEVELOPMENT REPORT 2019© 2019 World Trade Organization World Trade Organization Centre William Rappard Rue de Lausanne 154 1211 Geneva 2 Switzerland Telephone 41 022 739 51 11 Internet www.wto.org This work is a product of the World Trade Organization, the Institute of Developing Economies IDE-JETRO, the Organisation for Economic Co-operation and Development, the Research Center of Global Value Chains headquartered at the University of International Business and Economics RCGVC-UIBE, the World Bank Group, and the China Development Research Foundation. It is based on joint research efforts to better understand the ongoing development and evolution of global value chains and their implications for economic development. The findings, interpretations, and conclusions expressed in this work are those of the authors and do not necessarily reflect the views of the co-publishing partners, their Boards of cutive Directors, or the governments they represent. The co-publishing partners do not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other ination shown on any map in this work do not imply any judgment on the part of the co-publishing partners concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this work is subject to copyright. Because the co-publishing partners encourage dissemination of their knowledge, this work may be reproduced, in whole or in part, for non-commercial purposes as long as full attribution to this work is given. Any queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; fax 202–522–2625; e-mail pubrightsworldbank.org. WTO print ISBN 978-92-870-4967-4 WTO web ISBN 978-92-870-4968-1 This publication uses US spelling. All mentions of dollars refer to US dollars, unless otherwise indicated. The term “billion” refers to a thou- sand million. The Research Center of Global Value Chains acknowledges the financial support from the Bill Research Faculty and Senior Policy Fellow, Schar School of Policy and Government, George Mason University Other contributors Nadim Ahmad Head of Trade and Competitiveness Statistics Division, Organisation for Economic Co-operation and Development Marc Bacchetta Counsellor, World Trade Organization Michael J Ferrantino Lead Economist for Trade Policy, World Bank Group Claire H Hollweg Senior Economist, World Bank Group Satoshi Inomata Chief Senior Researcher, Institute of Developing Economies – Japan External Trade Organization Bilal M Khan Assistant Professor, Research Center for Global Value Chains, University of International Business and Economics Emine Elcin Koten Consultant, World Bank Group Xin Li Professor, School of Statistics, Beijing Normal University Kathryn Lundquist Statistician, World Trade Organization Bo Meng Senior Overseas Research Fellow New York, Institute of Developing Economies - Japan External Trade Organization Jiansuo Pei Associate Professor, School of International Trade and Economics, University of International Business and Economics Daria Taglioni Senior Economist, World Bank Groupviii Technological innovation, supply chain trade, and workers in a globalized world Acknowledgments T he Global Value Chains Development Report is a joint publication of the World Trade Organization WTO, the Institute of Developing Economies IDE–JETRO, the Organisation for Economic Co-operation and Development OECD, the Research Center of Global Value Chains RCGVC-UIBE, the World Bank Group, and the China Development Research Foundation, based on joint research efforts to better understand the ongoing development and evo- lution of global value chains and their implications for economic development. This second report draws contributions from 23 background papers; 16 of them were presented and discussed at the confer- ence “Technological Innovation, Supply Chain Trade, and Work- ers in a Globalized World” in Beijing during March 22–23, 2018, organized by the RCGVC and the China Development Research Foundation. Drafts of the eight chapters of the report were pre- sented and discussed at the second Authors’ Conference in Geneva on October 8, 2018, organized by the WTO. The editors thank the authors of background papers and individual chap- ters and the discussants and participants in the two conferences for insightful comments and suggestions that helped draft and improve the chapters see appendices 1 and 2 for the programs. Special thanks go to our external reviewers Jonathan Eaton Penn State University, Gary Hufbauer Peterson Institute for International Economics, Alonso de Gortari Princeton and Dart- mouth, Kalina Manova University College London, Maurice D Kugler George Mason University, Marcel Timmer the University of Groningen, and Felix Tintelnot University of Chicago. The editors are grateful to Michael Spence for his keynote speech at the background paper conference in Beijing and his invalu- able expertise and advice on the overall narrative of the report. The editors also thank Robert Koopman, chief economist of the World Trade Organization and Caroline Freund, director of the World Bank Group’s Trade, Regional Integration and Investment Climate, for their guidance and support during the joint research process as well as research and data contributions from the Asian Development Bank. The editors are grateful to William Shaw, who copy-edited the report, and to Anthony Martin, Head of WTO Publications, and Helen Swain, WTO Publications Editor, who were responsible for the production of the report. The RCGVC would like to acknowledge the financial support from the Bill Melinda Gates Foundation and National Science Foundation of China grant No. G0304-71733002. The report’s co-editors are David Dollar, Emmanuelle Ganne, Victor Stolzenburg and Zhi Wang.
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