Intra-country inequality and involvement in GVCs: the case of EU-28

Nowadays, production is configured around Global Value Chains, and countries’ involvement in those has become important objectives for achieving economic upgrading. However, social outcomes are neither equally distributed between countries, nor among social classes within countries. Indeed, GVCs an...

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Main Authors: Rosa Duarte, Adrian Espinosa Gracia, Sofía Jiménez, Julio Sánchez Chóliz
Format: Article
Language:English
Published: Universidad de Huelva 2023-08-01
Series:Revista de Economía Mundial
Subjects:
Online Access:https://www.uhu.es/publicaciones/ojs/index.php/REM/article/view/7272
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author Rosa Duarte
Adrian Espinosa Gracia
Sofía Jiménez
Julio Sánchez Chóliz
author_facet Rosa Duarte
Adrian Espinosa Gracia
Sofía Jiménez
Julio Sánchez Chóliz
author_sort Rosa Duarte
collection DOAJ
description Nowadays, production is configured around Global Value Chains, and countries’ involvement in those has become important objectives for achieving economic upgrading. However, social outcomes are neither equally distributed between countries, nor among social classes within countries. Indeed, GVCs and the potential gains of countries' involvement in them, yield uncertain implications of the effects of globalization on inequality within countries. In this context, the aim of this work is to analyze the link between the performance of countries in GVCs (measured trough participation and position) and the levels of intra-country inequality. In more depth, we focus on Europe (specifically, EU28 countries), as it offers a wide and cohesive scenario of developed countries in which to test the effects of linking into GVCs on internal inequalities. We get a positive effect of participation in GVCs on increasing intra-country inequality, while more upstream positions are linked to decreases in income inequality. Besides, if we differentiate by geographical area, Western and Southern European countries would achieve higher reductions in inequality than Northern countries by moving towards more upstream positions.
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spelling doaj.art-82241d0e5ab946c88c5e71683c12cc4a2024-03-09T11:48:41ZengUniversidad de HuelvaRevista de Economía Mundial1576-01622340-42642023-08-016410.33776/rem.vi64.7272Intra-country inequality and involvement in GVCs: the case of EU-28Rosa Duarte0Adrian Espinosa GraciaSofía Jiménez1Julio Sánchez Chóliz2Universidad de ZaragozaUniversidad de ZaragozaUniversidad de Zaragoza Nowadays, production is configured around Global Value Chains, and countries’ involvement in those has become important objectives for achieving economic upgrading. However, social outcomes are neither equally distributed between countries, nor among social classes within countries. Indeed, GVCs and the potential gains of countries' involvement in them, yield uncertain implications of the effects of globalization on inequality within countries. In this context, the aim of this work is to analyze the link between the performance of countries in GVCs (measured trough participation and position) and the levels of intra-country inequality. In more depth, we focus on Europe (specifically, EU28 countries), as it offers a wide and cohesive scenario of developed countries in which to test the effects of linking into GVCs on internal inequalities. We get a positive effect of participation in GVCs on increasing intra-country inequality, while more upstream positions are linked to decreases in income inequality. Besides, if we differentiate by geographical area, Western and Southern European countries would achieve higher reductions in inequality than Northern countries by moving towards more upstream positions. https://www.uhu.es/publicaciones/ojs/index.php/REM/article/view/7272Income inequalityglobal value chainsparticipationpositionEU-28
spellingShingle Rosa Duarte
Adrian Espinosa Gracia
Sofía Jiménez
Julio Sánchez Chóliz
Intra-country inequality and involvement in GVCs: the case of EU-28
Revista de Economía Mundial
Income inequality
global value chains
participation
position
EU-28
title Intra-country inequality and involvement in GVCs: the case of EU-28
title_full Intra-country inequality and involvement in GVCs: the case of EU-28
title_fullStr Intra-country inequality and involvement in GVCs: the case of EU-28
title_full_unstemmed Intra-country inequality and involvement in GVCs: the case of EU-28
title_short Intra-country inequality and involvement in GVCs: the case of EU-28
title_sort intra country inequality and involvement in gvcs the case of eu 28
topic Income inequality
global value chains
participation
position
EU-28
url https://www.uhu.es/publicaciones/ojs/index.php/REM/article/view/7272
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AT adrianespinosagracia intracountryinequalityandinvolvementingvcsthecaseofeu28
AT sofiajimenez intracountryinequalityandinvolvementingvcsthecaseofeu28
AT juliosanchezcholiz intracountryinequalityandinvolvementingvcsthecaseofeu28