Pandemic and statistical perspectives of rethinking supply chains strategies
Loading...
Date
2022
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Ivane Javakhishvili Tbilisi State University Press
Abstract
The pandemic, as expected, posed serious problems not only to the global economy as a whole, but also to such
a global phenomenon as supply chains. Repeated lockdowns have halted and weakened the flow of raw materials and
finished products around the world, which has dealt a serious blow to the normal development of manufacturing
processes. Although international statistics are well acquainted with the methods of statistical study and analysis of
these processes, this area of statistics in Georgia is still in its infancy. We are talking about Input-Output Statistics as a
model of interdependence of different sectors and industries and an important tool of macroeconomic analysis. The
importance of this field of statistics is also indicated by the wide scale of internationalization of Input-Output
Statistics worldwide, in particular, the development of inter-country and multiregional Input-Output Tables (IOT)
and the use of relevant databases for economic analysis and forecasting, which is impossible in the traditional
macroeconomic statistics framework. In addition, for Georgia, as for an import-dependent country, it is extremely
important to determine and analyze the degree of import content of production and exports. This is possible within
the framework of global supply chain models, the important tool of which is the world input-output databases and
our country's participation in them.
It should be noted also, that since the methodological and practical issues of developing IOT in Georgia are
poorly studied at the scientific level, there is practically no in-depth transfer of this knowledge to students, which is
vital for detailed study and monitoring of structural changes in the national economy, assessment of the development
policy, and development of the right economic strategy.
Thus, the lack of Input-Output Statistics in Georgia is problematic in many areas. Its development will be a
significant contribution to the strengthening of the capacity of the National Statistical System, and to implementation
of IOT production by Geostat. In addition, the results of the study will become an important turning point for Geostat
to establish a new level of cooperation with Europe in the field of statistics through integration into the world IOT
databases. Theoretical and methodological aspects of the appropriate research will significantly enhance the teaching
of disciplines such as macroeconomic statistics, external sector statistics, and the system of national accounts in higher
education institutions of economic profile. Academics will receive significant theoretical and informational support
for in-depth economic research. Ministries and agencies with an economic profile will have the opportunity to be
guided by scientifically substantiated, transparent, and internationally compliant statistical information in the process
of designing development policies and researching the structural conformity of the economy.
Thus, the purpose of this paper is to highlight the importance of Input-Output Statistics from a supply chain
phenomenon research perspective and to focus on some of the international experience in this area.
Description
1. ADB (2018). Economic Indicators for Eastern Asia: Input-Output Tables. Asian Development Bank. December, 2018.
2. Ahmad N. (2019). Improving the Accounting Frameworks for Analysis of Global Value Chains. Global Value Chain
Development Report 2019.
3. Ahmad N., Bohn T., Mulder N., Vaillant M., Zaclicever D. (2017). Indicators on Global Value Chains: A Guide for
Empirical Work. Working Paper N 84. STD/DOC (2017)8. OECD. 06-Jul-2017. https://doi.org/10.1787/8502992f-en
4. Alvarez J.B., Baris K.V., Crisostomo Ch.R., de Vera J.P., Gao Y., Garay K.V., Gonzales P.B., Jabagat Ch,J., Juani A.S.,
Lumba A.B., Mariasingham M.J.Meng B., Rahnema L.C., Reyes K.S., San Pedro M.P., Yang Ch. (2021). Recent Trends in
Global Value Chains. Global Value Chain Development Report 2021. ADB, the Research Institute for Global Value Chains
at the University of International Business and Economics, WTO, the Institute of Developing Economies–Japan External
Trade Organization, and the China Development Research Foundation. DOI: http://dx.doi.org/10.22617/TCS210400-2
5. Baldwin, R and R Freeman (2020), “Supply chain contagion waves: Thinking ahead on manufacturing ‘contagion and
reinfection’ from the COVID concussion”, VoxEU.org, 1 April.
6. Bonadio B., Huo Z., Levchenko A., Pandalai-Nayar N. (2020). The role of global supply chains in the COVID-19 pandemic
and beyond. VOX, CEPR Policy Portal. 25 May 2020 https://voxeu.org/article/role-global-supply-chains-covid-19-
pandemic-and-beyond
7. Chand S. Input-Output Accounting: Limitation and Importance. Retrieved from
https://www.yourarticlelibrary.com/microeconomics/national-income-microeconomics/input-output-accounting-limitation-andimportance/30799
8. Coast W., Symansky S., Maino J., Mcmorram R., Paniagua L. (2020). Post-COVID Economic Policy. USAID. August,
2020. https://pdf.usaid.gov/pdf_docs/PA00Z2S4.pdf
9. Ernst & Young (EY). (2021). How COVID-19 Impacted Supply Chains and What Comes Next. https://www.ey.com/-
en_us/supply-chain/how-covid-19-impacted-supply-chains-and-what-comes-next. Accessed Dec. 29, 2021.
10. Eurostat (2021). ESA Supply, Use and Input-Output Tables. htttps://ec.europa.eu/Eurostat/web/esa-supply-use-input-tables/figaro
11. Ferrantino M.J., Koten E. (2019). Understanding Supply Chain 4.0 and its potential impact on global value chains. Global
Value Chain Development Report 2019: Technological Innovation, Supply Chain Trade and Workers in a Globalized
World. World Bank, World Trade Organization.
12. Guan, D., Wang, D., Hallegatte, S. et al. Global supply-chain effects of COVID-19 control measures. Nat Hum Behav 4, 577–587 (2020). https://doi.org/10.1038/s41562-020-0896-8
13. Javorcik, B. (2020), “Global supply chains will not be the same in the post-COVID-19 world”, Chapter 8 in R Baldwin and
S Evenett (eds.), COVID-19 and Trade Policy: Why Turning Inward Won’t Work [2], a VoxEU.org eBook, CEPR Press
14. IDE-JETRO (2013). Asian International Input-Output Table 2005.
https://www.ide.go.jp/English/Publish/Books/Sds/098.html
15. Inoue, Hiroyasu. (2021). Propagation of International Supply-Chain Disruptions between Firms in a Country. Journal of
Risk and Financial Management 14: 461. https://doi.org/10.3390/jrfm14100461
16. Ivandić N. (2021). Accommodation and Food Services Supply Chains: An Input-Output Methodological Framework.
Original scientific paper. DOI: 10.17818/DIEM/2021/1.2
17. Lu W., Rencheng T. (2007). Input-Output Analysis for Multi-location Supply Chain Management Control: A Theoretical
Model. Retrieved from https://www.iioa.org/conferences/16th/files/Papers/Wang-274.pdf
18. OECD (2021), OECD Inter-Country Input-Output Database, http://oe.cd/icio".
19. Papava V. (2020). New Challenges of Economic Science Under the COVID-19 Pandemic. “Economisti”, N4, 2020. (In
Georgian). DOI: 10.36172/EKONOMISTI.2020.XVI.04.Papava
20. Shih, W. (2020). Global Supply Chains in a Post-Pandemic World. Harvard Business Review. September-October, 2020.
https://hbr.org/2020/09/global-supply-chains-in-a-post-pandemic-world
21. Shih, W., Huckman R., and Wyner J. (2021). The Challenge of Rebuilding U.S. Domestic Supply Chains. Harvard Business
Review. May 26, 2021. https://hbr.org/2021/05/the-challenge-of-rebuilding-u-s-domestic-supply-chains
22. WB (2019). Technological innovation, supply chain trade, and workers in a globalized world. Global Value Chain
Development Report 2019.
Keywords
COVID-19, Supply Chains, Input-Output Statistics, Input-Output Tables
Citation
International Scientific Conference Dedicated to the Establishment of the University and the 100th Anniversary of the Faculty of Economics and Business “Covid 19 Pandemic and Economics”, Tbilisi, 2022, pp. 20-28