Downstreamness measure

This paper focuses on the fragmentation of the production stages in a related production process. Comparing alternative technologies that produce similar goods, one with fewer production stages and the other with a greater number requires a holistic perspective for the entire production sequence. What matters is not only the strength of production links but also the length of the links, determined by the number of production stages. In this study, using the Inter-Country Input-Output table (ICIO) including Iran in 2016, We quantify the production status of 42 activities for 68 countries and the rest of the world, with a focus on the Iranian economy. To achieve this, we concentrate on the global output supply chain and input demand chains, specifically considering Iran. We use the output upstreamness (OU) measure and input downstreamness (ID) measure to quantitatively determine the relative positions of Iran's economic activities along the global output supply chain and input demand chain, respectively. This study provides insights into countries with the highest and lowest IDs globally, attributing them to industrial and agricultural activities, respectively. Iran's lower ID is explained by its role as a main supplier of natural resources, particularly in activities like oil and natural gas extraction.