Work

A bipartite network analysis of international trade volatility

Year: 2024

Type: article

Abstract: This study examines the unprecedented global trade disruptions caused by the COVID-19 pandemic and their propagation through international supply chains. By analyzing monthly data for 75 countries across 1,260 product categories, we find that declining trade disruptions are more concentrated than surge disruptions, indicating a broader impact of negative shocks on global trade. Our findings also suggest that disruptions in export flows tend to have a greater effect than those in imports, and that trade disruptions within a given commodity are more likely to spread to other countries trading in that same commodity rather than to other commodities traded by the same country. These insights offer valuable lessons for firms and policymakers seeking to mitigate the effects of future exogenous shocks on global markets and supply chains.

Source: Applied Network Science

DOI: 10.1007/s41109-024-00684-6

Authors: John Schoeneman, Marten Brienen, Lixia Lambert, Dayton Lambert

Institution: Oklahoma State University

Language: English

Topic: Supply Chain Resilience and Risk Management

Subfield: Strategy and Management

Field: Business, Management and Accounting

Domain: Social Sciences

Open Access status: gold

Estimated APC paid: $1,490

Funders: U.S. Department of Agriculture, Oklahoma Agricultural Experiment Station