The Topology of Global Trade: A Network Analysis of Logistics Performance and Tariff Rate Alignment
The Topology of Global Trade: A Network Analysis of Logistics Performance and Tariff Rate Alignment
Author(s): Aakash KELKAR, Drew SIENKOWSKISubject(s): Economy, Supranational / Global Economy, Business Economy / Management
Published by: RITHA Publishing
Keywords: Logistics Performance Index (LPI); MFN tariffs; graph theory; network analysis; global trade; betweenness centrality;
Summary/Abstract: This study investigates the structural relationships between Most Favoured Nation Weighted Average (MFNWA) tariffs and the Logistics Performance Index (LPI) using graph theoretical analysis. While these metrics are fundamental to global trade, they are rarely analysed as intertwined networks. Utilizing World Bank data from 2007 to 2022, we construct independent association networks to measure how nations align with global tariff and logistics trends. Through measures of node degree and betweenness centrality, the research identifies nations that serve as pivotal hubs or outliers in the global trade ecosystem. Findings reveal a strong negative correlation between average MFNWA rates and LPI scores, yet a lack of correlation between their respective network degrees, suggesting that the factors driving logistics excellence and tariff alignment are governed by distinct economic drivers. The study provides a novel framework for policymakers to assess a nation’s connectivity and strategic positioning within global trade networks.
Journal: Journal of Applied Economic Sciences (JAES)
- Issue Year: XXI/2026
- Issue No: 2(92)
- Page Range: 413-425
- Page Count: 13
- Language: English
