Figure 1. Illustration of processing trade activities Source: Hummels et al. (2011). Table 1. A simplified standard input-output table without processing trade Domestic Final use Gross production output 1 . . Domestic (f) Foreign (e) n 1 Production for . domestic use and . exports n Imported input m Value added Gross input Notes: for clarity, matrices are indicated by bold, upright capital letters; vectors by bold, upright lower case letters, and scalar by italicized lower case letters. Vectors are columns by definition, so that row vectors are obtained by transposition, indicated by a prime (e.g. ). A diagonal matrix with the elements of vector x on its main diagonal and all other entries equal to zero are indicated by a circumflex (e.g. ) Table 2. An extended input-output table with processing trade Domestic Processing production Final use Gross trade (P) (D) output 1 . . 1 . . Domestic (f) Foreign (e) n n 1 Production for . domestic use and . normal exports (D) n 1 Production for . 0 0 0 processing trade (P) . n Imported input m Value added
Figure 1. Illustration of processing trade activities Source: Hummels et al. (2011). Table 1. A simplified standard input-output table without processing trade Domestic production Final use Gross output 1 . . n Domestic (f) Foreign (e) Production for domestic use and exports 1 . . n Imported input m Value added Gross input Notes: for clarity, matrices are indicated by bold, upright capital letters; vectors by bold, upright lower case letters, and scalar by italicized lower case letters. Vectors are columns by definition, so that row vectors are obtained by transposition, indicated by a prime (e.g. ). A diagonal matrix with the elements of vector x on its main diagonal and all other entries equal to zero are indicated by a circumflex (e.g. ) Table 2. An extended input-output table with processing trade Domestic production (D) Processing trade (P) Final use Gross output 1 . . n 1 . . n Domestic (f) Foreign (e) Production for domestic use and normal exports (D) 1 . . n Production for processing trade (P) 1 0 0 0 . . n Imported input m Value added
2601_20160520021_ProcessingTradeActivitiesinMalaysia-MeasureandContributiontoDomesticEconomy.docx