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Global locational inequality

Assessing unequal exchange effects

Bibliographic Data

ID4139729
AuthorsAndrea Ricci (0000-0002-5392-6785, University of Urbino, corresponding author)
Year2022
Volume54
Issue7
Pages1323-1340
Publication date2022-10-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueEnvironment and Planning A Economy and Space (JOURNAL)
Journal identifiersISSN: 0308-518X • E-ISSN: 1472-3409
PublisherSAGE Publications Inc (PUBLISHER)
DOI10.1177/0308518x221107023
OpenAlexW4282567479
LanguageEN
Citations received10
References cited58

Growth in international trade between countries at different levels of development is one of the main drivers of economic globalization. This phenomenon relates to the new international division of labour in which an Emerging Periphery, hosting the offshoring and outsourcing of world manufacturing, stands between a developed Center and a still backward, Poor Periphery. Following the analysis of the relative and absolute indices of global locational inequality, the effect of the unequal exchange on world income distribution in the last 25 years is investigated. A new methodology based on real currency misalignments and value-added trade is presented, which accounts also for international value transfers within global value chains. The counterfactual test shows that trade value transfers represent a significant source of revenue for the Center diverted from the Peripheries. Unequal exchange widens the opportunity gap between citizens of rich and poor countries through an increase in global locational inequality. Redefining post-pandemic international economic rules should therefore recognize the effect of unequal exchange on global inequality

Business · Counterfactual thinking · Currency · Economics · Global value chain · Globalization · Inequality · International economics · International trade · Macroeconomics · Market economy · Offshoring · Outsourcing · Revenue · Global trade and economics · Global trade, sustainability, and social impact · Innovation and Socioeconomic Development

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Unique citing works10
Citations per year3,33
Citation span2023 - 2026 (4)
Citation velocitycurrent
Highly citedNo
Citation typesNeutral: 10
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