Global value chains and economic growth : what impact on the Moroccan economy ?

Abstract

The globalization of economies has changed the way of production. That is, the activities forming the value chains of a number of products and services are increasingly getting fragmented across the world and between companies. 

However, the question is how we can achieve positive economic benefits through taking part in such global value chains. As far as Morocco is concerned, it seems that the current form of its integration into global value chains (GVCs) has merely a limited effect on long-term economic growth. Hence, this article aims at empirically assessing the impact of global value chains on economic growth in Morocco based on a vector error correction model (VECM). The results of econometric modeling showed that Morocco's integration into GVCs does not contribute effectively to the improvement of the country 's economic growth.