Global value chains: an analysis of the overflow effect of the Brazilian auto industry for the years 2000 and 2014

Abstract

The objective of this work is to map, analyze and compare the production multipliers and the overflow effect related to the manufacturing sector of motor vehicles, trailers and semi-trailers to 43 countries plus the rest of the world - focusing on Brazil - for the years of 2000 and 2014. For this purpose, a theoretical and empirical discussion was held that contemplates theories about the Global Value Chains and a retrospective of the Brazilian automobile industry. The work used the global input-output analysis to estimate the production multipliers based on data available from WIOD (2017). As the main result the research indicates an increase of the multipliers of global production, occurring the same for this sector in Brazil. Another important result was the reduction of the overflow effect for Brazil going against the global effect, that is, this sector, which is supported by the State, decreased its external dependence

Keywords

• Automobile industry
• Global Value Chains
• Input-Output
• Overflow