Understanding Economic Geography and Location Over Time
Chapter 13: Supply chain economy
The supply chain economy provides grounds for a non-linear economic leapfrog start in development. Rather than specialising in the whole production procedure, the new model enables specialisation in production segments. All process links are related and must be of an identical high standard. The differential treatment of developing countries is therefore not acceptable in this economic model. Statistics provision and trade policy need to change. Duties must be either eliminated or applied on a value-added basis. A new wave of protectionism is testing the spread of the supply chain economy. Three-dimensional printing may pose a challenge to the length and future spread of value chains.
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