Beyond north-south dynamics: the rise of south-south trade in an evolving multipolar world

Available from: 
October 2013
Paper author(s): 
Tatiana Didier (The World Bank)
Magali Pinat (The World Bank)
Topic: 
Globalization and Trade
Year: 
2013

Lacea2013
This paper sheds light on the nature of these structural changes in the global economy by analyzing the dynamics of global trade connections. We use network analysis on bilateral trade data to characterize global trade linkages at different points. This methodology allows us to study not only the structure and shape of the global trade network, but also its stability and its driving forces, such as the factors behind linkage creation and destruction. We focus in particular on the evolving role of South countries in the global trade network and on the dynamics of South-South linkages in comparison to North-South and North-North ones. The novelty of the approach in this paper is that it takes into account network effects, which the more standard frameworks of gravity models and logistic regressions are unable to capture given their assumption of independent observations.  

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Research section: 
Lacea 2013 annual meeting
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