Network analysis of International Export Pattern

Applied Network Science

A common issue in trade network analysis is missing data, as some countries do not report trade flows. This paper explores what constitutes suitable data, how to deal with missing data, and demonstrates the results using key network measures. All-to-all potential connectivity of trade between countries is considered as a starting point, in contrast to the common approach of analyzing trade networks using only the countries that actually report trade flows. In order to fill the gap between the two approaches, a more complete dataset than just the dataset of trade between reporting countries is reconstructed and the robustness of studying this bigger dataset is examined. The difference between imputed and actual network adjacency matrices is evaluated based on several centrality measures. The results are illustrated using ten commodity groups from the United Nations Database, which demonstrate that under the proposed reconstruction procedure the ranks of the countries do not change si...

2010

This paper uses the tools of network analysis to assess the different characteristics of world trade in different manufacturing industries. The structure of the trade networks is compared to understand to what extent the world market characteristics differ between sectors. We find that in some sectors the structure of trade flows gives rise to a dense, widespread network with many links, while in others we observe a centered network, organized around hubs that centrally coordinate the flows. The results indicate a pattern of network structures, showing a positive correlation between the goods' complexity and the network complexity, changing the extent of the relevant market and its structure across goods.

Journal of Statistical Mechanics: Theory and Experiment, 2008

Tools of the theory of critical phenomena, namely the scaling analysis and universality, are argued to be applicable to large complex web-like network structures. Using a detailed analysis of the real data of the International Trade Network we argue that the scaled link weight distribution has an approximate log-normal distribution which remains robust over a period of 53 years. Another universal feature is observed in the power-law growth of the trade strength with gross domestic product, the exponent being similar for all countries. Using the 'rich-club' coefficient measure of the weighted networks it has been shown that the size of the rich-club controlling half of the world's trade is actually shrinking. While the gravity law is known to describe well the social interactions in the static networks of population migration, international trade, etc, here for the first time we studied a non-conservative dynamical model based on the gravity law which excellently reproduced many empirical features of the ITN.

Geographia Technica

The aim of this paper is to describe worldwide export and import patterns in wheat trade and investigate their interconnections. The analysis uses Gephi techniques, including Geo layout and Fruchterman-Reingold algorithms. The research reveals the most important objectives of the wheat network by identifying and quantifying exporters and importers, subnetworks and flow pathways by calculating the centrality, network and clustering metrics. The results of the network analysis of the global wheat trade system highlight the scale-free character of the world's wheat supply system.

2008

This paper employs a weighted network approach to study the empirical properties of the web of trade relationships among world countries, and its evolution over time. We show that most countries are characterized by weak trade links; yet, there exists a group of countries featuring a large number of strong relationships, thus hinting to a core-periphery structure. Also, better-connected countries tend to trade with poorly-connected ones, but are also involved in highly-interconnected trade clusters. Furthermore, rich countries display more intense trade links and are more clustered. Finally, all network properties are remarkably stable across the years and do not depend on the weighting procedure.

The European Physical Journal B, 2015

Using the new data from the OECD-WTO world network of economic activities we construct the Google matrix G of this directed network and perform its detailed analysis. The network contains 58 countries and 37 activity sectors for years 1995 and 2008. The construction of G, based on Markov chain transitions, treats all countries on equal democratic grounds while the contribution of activity sectors is proportional to their exchange monetary volume. The Google matrix analysis allows to obtain reliable ranking of countries and activity sectors and to determine the sensitivity of CheiRank-PageRank commercial balance of countries in respect to price variations and labor cost in various countries. We demonstrate that the developed approach takes into account multiplicity of network links with economy interactions between countries and activity sectors thus being more efficient compared to the usual export-import analysis. The spectrum and eigenstates of G are also analyzed being related to specific activity communities of countries. PACS. 89.75.Fb Structures and organization in complex systems -89.65.Gh Econophysics -89.75.Hc Networks and genealogical trees -89.20.Hh World Wide Web, Internet arXiv:1504.06773v1 [q-fin.ST]

Econophysics of Markets and Business Networks

Lecture Notes in Economics and Mathematical Systems, 2016

We provide empirical evidence on the network structure of trade flows between European regions and discuss the theoretical underpinning of such a structure. First, we analyze EU regional trade data using Social Network Analysis. We describe the topology of this network and compute local and global centrality measures. Finally, we consider the distribution of higher order statistics, through the analysis of local clustering and main triadic structures in the triad census of interregional trade flows. In the theoretical part, we explore the relationship between trade costs and trade links. As shown by Behrens (2004, 2005a, 2005b) in a two-region linear new economic geography (NEG) model, trade costs and the local market size determine, even with finite trade costs, unconditional autarky and unilateral trade, that is, a one-directional flow from one region to the other. Following these contributions and guided by the empirical evidence, we clarify the relationship between market competition, trade costs and the patterns of trade in a three-region NEG model. We identify a larger set of trade network configurations other the three elementary ones that occur at the dyadic level between two regions (no trade, one-way trade, reciprocated two-way trade), and relate the model with the triad census.

DRUID Summer Conference 2007 on Appropriability, …, 2010

Journal of Economic Studies

PurposeThis paper explores international trade of the Chinese manufacturing industries through the lenses of network analysis (NA) to visualise the world trade network of the Chinese economy, describe its topology and better explain the international organisation of Chinese manufacturing industries.Design/methodology/approachThe authors built a dataset of 40,550 Chinese companies and their 107,026 subsidiaries in 118 countries from Orbis-BVD and used a NA to investigate the connection between China and other countries. In particular, the authors studied the connections between Chinese companies and their subsidiaries in order to build a network of Chinese industries.FindingsThe authors found that the network of Chinese companies is ramified but not wide and it can be divided into two clusters. Moreover, the relations between China and other peripheral countries are strongly mediated by a few leading locations (e.g. Hong Kong and the USA).Originality/valueThis paper contributes to th...