Heterogeneous country responses to the Great Recession: the role of supply chains

Steven Brakman*, Charles van Marrewijk

*Corresponding author for this work

Research output: Contribution to journalArticleAcademicpeer-review

4 Citations (Scopus)
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Abstract

The one time shock of the Great Recession in 2008/9 opens up the opportunity to study the sensitivity of countries to global economic shocks. Some countries are more resilient to global shocks than others. The authors analyze the link between the country response to the Great Recession and participation in global supply chains. Their preferred measure of supply chains is the Grubel-Lloyd index, which enables us to use detailed trade data over longer periods of time. The main finding is that strong involvement in global supply chains slows down the recovery of countries to recessions. Europe, which is heavily involved in global supply chains, is a case in point.

Original languageEnglish
Pages (from-to)677-705
Number of pages29
JournalReview of World Economics
Volume155
Issue number4
DOIs
Publication statusPublished - Nov-2019

Keywords

  • Great Recession
  • Supply chains
  • Heterogeneous country responses
  • RESILIENCE
  • CRISIS
  • EUROPE

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