*GVC Participation and Corresponding OECD TiVA Indicators (Extracted from Martins Guilhoto et al. 2022)*

Backward participation in GVCs, percentage (DEXFVApSH): Foreign VA embodied in exports, as % of total gross exports of the exporting country. This indicator is calculated for the total value of source and exporting industries; it is estimated as the ratio between the VA contents of imports from the source country *p* and the gross exports of the exporting country *c*. This indicator is estimated as: DEXFVApSH*c*,*p* = EXGR\_BSCI*c*,*p*/EXGR*c* × 100, where EXGR\_BSCI*c*,*p* is the total VA from country *p* embodied in the total exports of exporting country *c*, and EXGR*c* is the total gross exports of exporting country *c*.

Forward participation in GVCs, percentage (FEXDVApSH): Domestic VA embodied in foreign exports as a share (%) of total gross exports of the value-added source country. This indicator is calculated for the total value of source and exporting industries; it is estimated as the VA contents of exports originating in the source country, and embodied in the exports of the exporting country, divided by the gross exports of the source country. This indicator is estimated as follows: FEXDVApSH*c*,*p* = EXGR\_BSCI*c*,*p*/EXGR*c* × 100, where EXGR\_BSCI*c*,*p* is the total VA from country c embodied in the exports of country *p*, and EXGRc is the total gross exports of the value added source country *c*.

#### **Appendix B**

**Table A1.** List of the 61 countries/territories and considered in the econometric analysis.


#### **References**


Baldwin, Richard. 2016. *The Great Convergence: Information Technology and the New Globalization*. Cambridge: Belknap Press.

