Contracting out and labor demand elasticities

We examine the relationship between contracting out and the wage elasticity of labor demand in outsourcing plants. A simple theoretical model suggests that firms engaged in contracting out have lower wage elasticities. Estimating plant level dynamic labor demand equations for Irish manufacturing we find evidence supportive of this.

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Year of publication:	2005-11
Authors:	GORG, Holger ; PICARD, Pierre ; STROBL, Eric
Institutions:	Center for Operations Research and Econometrics (CORE), École des Sciences Économiques de Louvain
Subject:	outsourcing \| contracting out \| labor demand \| elasticities

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Extent:	application/pdf
Series:	CORE Discussion Papers.
Type of publication:	Book / Working Paper
Notes:	The text is part of a series UNIVERSITE CATHOLIQUE DE LOUVAIN, Center for Operations Research and Econometrics (CORE) Number 2005082
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10005042976