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Global Backward and Forward Multiplier Analysis: The Case Study of Japanese Automotive Industry

  • Sutee Anantsuksomsri
  • Nattapong Puttanapong
  • Nij TontisirinEmail author
Chapter
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Part of the New Frontiers in Regional Science: Asian Perspectives book series (NFRSASIPER, volume 24)

Abstract

Thailand is one of the major investment destinations of Japanese automotive industry. In addition to the major automobile companies, Japanese investors have also invested in small and medium enterprises in automobile parts and components in Thailand. Since the 1980s, the automotive industry has been a driving force of the Thai economy. Currently, Thailand is one of the world largest automobile producers. In this study, we analyze the global input-output table. Backward and forward multiplier analysis is used to conduct interindustry linkage analysis of Japanese automotive industry. Unlike a conventional trade statistical analysis, this global input-output table allows for the analysis of interconnection between economic sectors around the world. From our multiplier analysis, Japanese automotive industry has high backward linkages domestically. Internationally, its forward multiplier is among the top five after metal, chemicals and rubber, electrical and optical equipment, and wholesale and retail. In addition, structural path analysis is performed to illustrate the paths of global value chain of Japanese automotive industry. The analysis reveals the interconnection of automotive and other industries in Japan, Thailand, and the rest of the world.

Keywords

Automotive industry Input-output Structural path analysis 

Notes

Acknowledgments

This research is partially supported by Waseda University FY 2015 Grant Program for the Promotion of International Joint Research.

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Copyright information

© Springer Science+Business Media Singapore 2017

Authors and Affiliations

  • Sutee Anantsuksomsri
    • 1
    • 2
  • Nattapong Puttanapong
    • 3
  • Nij Tontisirin
    • 4
    Email author
  1. 1.Waseda Institute for Advanced StudyWaseda UniversityTokyoJapan
  2. 2.Faculty of Architecture, Department of Urban and Regional PlanningChulalongkorn UniversityBangkokThailand
  3. 3.Faculty of EconomicsThammasat UniversityBangkokThailand
  4. 4.Faculty of Architecture and PlanningThammasat UniversityPathumthaniThailand

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