icio | Global Value Chains (GVC) and Value-Added trade analysis in Stata

icio is a Stata command that computes the most relevant measures of trade in value-added and participation in global value chains (GVC) of countries and sectors by exploiting Inter-Country Input-Output (ICIO) tables. It provides decompositions of aggregate, bilateral and sectoral exports  and imports according to the source and the destination of their value-added content.

by Federico Belotti, Alessandro Borin and Michele Mancini

icio paper can be found here: icio: Economic Analysis with Inter-Country Input-Output tables in Stata

How to install icio? Run in Stata:

ssc install icio

The official version works from Stata 15.1. To install a version of icio for Stata 14, run: net install icio_14, from(http://www.econometrics.it/stata) replace. First, remember to uninstall icio and re-open Stata.

What does icio do?

The command allows to work directly with the most popular ICIO tables – WIOD (Timmer et al. 2015), TiVA (OECD), EORA (Lenzen et al. 2013); in addition, any other user-provided ICIO table can be loaded.

icio follows closely the accounting framework presented in in Borin and Mancini (2019), “Measuring What Matters in Global Value Chains and Value-Added Trade”, Policy Research Working Paper, World Bank, which – in turn – extends, refines and reconciles the other main contributions in this strand of the literature (Johnson and Noguera, 2012; Wang et al., 2013; Koopman et al. 2014; Borin and Mancini, 2015; Los et al., 2016; Nagengast and Stehrer, 2016; Johnson, 2018; Miroudot and Ye, 2018; Los and Timmer, 2018). A key feature of the conceptual scheme proposed by Borin and Mancini (2019) is that different empirical questions call for distinct accounting methods, along with different level of aggregation of trade flows. The icio command shares the same rationale.

Check the World Bank World Development Report 2020 on Global Value Chains here. GVC indicators in the report are computed with icio. See this help guide to replicate WDR2020 GVC measures.
GVC participation measures used in the Report follow the methodology from Borin and Mancini (2015, 2019).
– A full database (country/sector/time) of trade in value-added and GVC participation measures can be found here (WDR2020_gvc_data.csv). Please check the read me file in the zip folder.

More info?

See the help file here. See the IDEAS page.

How to cite icio?

Belotti, F., Borin, A., and Mancini, M. 2020. icio: Economic Analysis with Inter-Country Input-Output tables in Stata, Policy Research working paper. Policy Research working paper. no. WPS 9156. Washington, D.C. : World Bank Group.

Borin, A., and Mancini, M. 2019. Measuring What Matters in Global Value Chains and Value-Added Trade , Policy Research working paper. no. WPS 8804. Washington, D.C. : World Bank Group.

Please, remember also to cite the original Inter-Country Input-Output database you are using with icio:
EORA: Lenzen, M., Moran, D., Kanemoto, K., Geschke, A. 2013. ‘Building Eora: A Global Multi-regional Input-Output Database at High Country and Sector Resolution.’ Economic Systems Research, 25:1, 20-49.
OECD-TiVA: OECD, Trade in Value Added database, 2018, oe.cd/tiva.
WIOD: Timmer, M. P., E. Dietzenbacher, B. Los, R. Stehrer and G.J. de Vries, 2015. ‘An Illustrated User Guide to the World Input-Output Database: the Case of Global Automotive Production.’ Review of International Economics. 23: 575–605.