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Discussion Paper Details

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Title: Production Networks: A Primer

Author(s): Vasco M Carvalho and Alireza Tahbaz-Salehi

Publication Date: December 2018

Keyword(s): input-output linkages, networks and shock propagation

Programme Area(s): Macroeconomics and Growth and Monetary Economics and Fluctuations

Abstract: This article reviews the literature on production networks in macroeconomics. It presents the theoretical foundations for the role of input-output linkages as a shock propagation channel and as a mechanism for transforming microeconomic shocks into macroeconomic fluctuations. The article also provides a brief guide to the growing literature that explores these themes empirically and quantitatively.

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Bibliographic Reference

Carvalho, V and Tahbaz-Salehi, A. 2018. 'Production Networks: A Primer'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=13421