Organizing the Global Value Chain

  • Pol Antras Han Ping, Luke Davin CHOR
  • Published 2011
We develop a property-rights model of the firm in which production entails a continuum of uniquely sequenced stages. In each stage, a final-good producer contracts with a distinct supplier for the procurement of a customized stage-specific component. Our model yields a sharp characterization for the optimal allocation of ownership rights along the value… CONTINUE READING