Baldwin, Richard; Robert-Nicoud, Frédéric - C.E.P.R. Discussion Papers - 2007
A simple model of offshoring, which depicts offshoring as ‘shadow migration,’ permits straightforward derivation of … necessary and sufficient conditions for the effects on wages, prices, production and trade. We show that offshoring requires … modification of the four classic international trade theorems, so econometricians who ignore offshoring might reject the Heckscher …
