|Abstract : |
Trade openness has continuously gained its significance on the structure of Thai economy. The empirical evidence shows that the increasing inflows of intermediate, machinery and Foreign Direct Investment (FDI) have simultaneously correlated with the exports of manufacturing products. This evolution indicates the deeper connection of Thai economy to the global supply chain. Based on this fact, this study introduces the new approach of quantifying and tracing the network of impact transmission between the international supply chain and Thai economy. To construct the global input-output table exhibiting Thailands international trade linkages, the World Input-Output Database (WIOD) is extended to include Thailands domestic and international trade statistics. In order to extract the main structure of international production network, the computational techniques of Leontief backward and forward multipliers and the Structural Path Analysis (SPA)are applied to the newly constructed WIOD table. The computational outcome indicates that among Thailands production activities, the electronics manufacturing sector has the highest value of both international backward and forward multipliers. The result obtained from SPA also reveals the international production network of electronics industry linking manufacturing processes across Thailand, Japan, China, Korea, US, EU, Taiwan and rest of the world. The SPA result identifies the similar pattern of linkages to the international supply chain of Thailands manufacturing sector. These findings signify the linkages between Thai economy and the international production network, and the importance of the transmission mechanism of impacts propagating through connected supply chains.
By : |
Dr. Nattapong Puttanapong, Faculty of Economics, Thammasat University
Venue : |
5th Floor Meeting Room, Faculty of Economics, Thammasat University, Tha Prachan
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