The Eora global supply chain database consists of a multi-region input-output table (MRIO) model that provides a time series of high-resolution IO tables with matching environmental and social satellite accounts for 190 countries.

Global Value Chains (GVC's) data from World Bank's WDR 2020 data

The paper sheds light on whether openness to GVCs, a primary form of international trade nowadays, has a significant and positive association with government expenditure. Focusing mainly on one of the most frequently discussed risks of GVC participation – skills of domestic labor, it checks whether government expenditure on education increases as a state is more integrated into GVCs. It then moves on to investigate whether increased education expenditure has a robust and positive impact on skills readiness, such as general labor skills and skills to use technology. The association between GVC participation and government expenditure is examined through cross-sectional analyses of the statistical models with a set of variables extracted from a few reliable resources such as the UNCTAD-Eora Global Value Chain Database and the UNESCO Institute for Statistics (UIS) Database. Adding interaction terms to the models further expands our understanding of the complex association between GVCs, education expenditure, and domestic elements of labor.