Recently, World Development Report was released by World Bank with the theme “Trading for Development in the Age of Global Value Chains (GVC)”. Critically examine whether GVCs are beneficial for trade.
Answer: The GVC model breaks the product life-cycle into many tasks where each participating country completes each task sequentially. The Firms try to optimize their production processes by locating the various stages across different sites.
Significance
- They account for nearly 50% of trade worldwide.
- For Example: iPhone where US prepares the iPhone design and prototypes, while Taiwan and South Korea produce critical inputs such as integrated circuits and processors and final assembly takes place in China from where the iPhones are marketed all over the world.
Pros of GVCs
- GVCs promote efficiency whereby each country is allowed to ....
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General Studies Mains Questions And Answers
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- 2 Discuss the contribution of moderates in the Indian freedom movement by describing the various methods adopted by them.
- 3 Give an account of the evolution of the relationship between the British power and the Indian princely states during the British rule, mentioning the key developments.
- 4 Describing the importance of big dams in India, throw light on the problems associated with them. Discuss the efforts made for dam safety in the country.
- 5 Urbanization is a double-edged sword for women. Discuss the challenges faced by women in cities and describe the measures to overcome them.
- 6 What is the Model Code of Conduct? Describe the importance and challenges of Model Code of Conduct.
- 7 Discuss the functions and role of the Election Commission of India. How does the Election Commission ensure free and fair elections in India?
- 8 BIMSTEC is an important organization to strengthen India's position in South-East Asia. Mention the major obstacles to the integration of BIMSTEC.
- 9 India and the US have agreed to move forward in the field of space cooperation. Discuss the limiting factors in the path of space cooperation between the two countries and suggest ways to solve them.
- 10 The Nuclear Non-Proliferation Treaty is considered important to prevent the spread of nuclear weapons; yet India is opposed to this treaty. Explain.
