EXPORT RATIO AS THE INDICATOR OF GLOBALIZATION FROM THE PERSPECTIVE OF MEASURING TRADE IN VALUE ADDED

Modern production organization, involving its fragmentation on a global scale, causes that the value of exported goods consists of both domestic and foreign value added. In consequence, the interpretation of the measures that have been used so far and are based on foreign trade calls for revision and updating. The paper is an attempt to compare the levels of globalization in the economies of the world's three largest exporters: the USA, China and Germany, measured with the export ratio, which, however, was broken down into a domestic and foreign component. The analysis comprised the years 2000-2014. The data from WIOT database were used for estimations. Based on the measure applied, it can be concluded that in the years considered the level of globalization in the economies of the USA and Germany increased. The case of China is different. The level of globalization in the Chinese economy grew in the years 2000-2006, only to fall afterwards. Eventually, in 2014 it recovered to the level achieved in 2000. The most globalized economy of the three under study was the German economy. It was characterized with the highest export ratio and the strongest geographical dispersion of exports (attesting to the strong connection with foreign economies in trade), as well as the highest share of value added content in exports and the highest share of the foreign component in the export ratio/GDP generation (which may be interpreted as the strongest connections with foreign economies in terms of production). The US economy was the least globalized economy. This is revealed in the lowest export ratio, the lowest share of value added content, and the lowest share of the foreign component in GDP generation.