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We construct a model of offshoring with externalities and firm heterogeneity. Due to the presence of externalities …, temporary shocks like the Y2K problem can have permanent effects, i.e., they can permanently raise the extent of offshoring in … an industry. Also, the initial advantage of a country as a potential host for outsourcing activities can create a lock in …
Persistent link: https://www.econbiz.de/10005703445
We develop a theory of a firm in an environment with incomplete contracts. The firm’s headquarter decides on the complexity, the organization, and the global scale of its production process. Specifically, it decides: i) on the mass of symmetric intermediate inputs that are part of the value...
Persistent link: https://www.econbiz.de/10008693834
offshoring (integration) and sourcing strategies and (4) location of firms and labor markets. Second, we overview existing …
Persistent link: https://www.econbiz.de/10008777153
This paper examines the relationship between outsourcing and various aspects of employee well-being by devoting special … offshoring involves job destruction, especially when the destination is a low-wage country. In such circumstances, staying … employees' job satisfaction is reduced. However, the relationship between outsourcing and employee well-being is not entirely …
Persistent link: https://www.econbiz.de/10010884090
between offshoring and exports. We model a world consisting of many advanced countries that trade differentiated goods among …
Persistent link: https://www.econbiz.de/10010762067
The paper investigates the relationship between offshoring, wages, and the ease with which individuals' tasks can be … suitability of a task for offshoring and the associated skill level. Accordingly, wage effects of offshoring can be very … on offshoring. Our main results suggest that in partial equilibrium, wage effects of offshoring are fairly modest but far …
Persistent link: https://www.econbiz.de/10008529132
). It turns out that, compared to non-offshoring firms, firms that relocated activities were larger and more productive, and … relocate, and this points to self-selection of "better" firms into offshoring. This finding is in line with results from recent … others were not. Broadly in line with hypotheses derived from the literature there is no evidence that offshoring has a …
Persistent link: https://www.econbiz.de/10008514860
explanation is at odds with the sequence of observed facts. We propose and model an alternative scenario in which offshoring …
Persistent link: https://www.econbiz.de/10011212573
The subject of offshoring and productivity has not yet received the attention it deserves. Here I propose a simple …-series perspective. This framework is then used to assess the impact of offshoring on skill upgrading and the labor share. For both … should be interpreted with caution yet clearly suggest that offshoring can improve labor productivity in the Semiconductors …
Persistent link: https://www.econbiz.de/10011252276
-level trade flows with firm-specific instrumental variables based on world demand and supply shocks. Both export and offshoring … shocks have a positive effect on wages. Exports increase wages for all occupational categories while offshoring has … elasticity of wages with respect to exports and offshoring is higher than in firms with no collective bargaining. Wage gains …
Persistent link: https://www.econbiz.de/10011196641