We set up a general equilibrium model, in which offshoring to a low-wage country can lead to job polarisation in the … pay wages that are positively linked to their profits by a rent-sharing mechanism. Offshoring involves fixed and task … variable offshoring costs. A reduction in those variable costs increases offshoring at the intensive and at the extensive …

The various channels through which a reduction in the cost of offshoring can improve wages in a developed country are … by now well understood. But does a similar reduction in the offshoring cost also benefit workers in the world's factories … in developing countries? Using a parsimonious two-country model of offshoring, we find very nuanced results. These …

This paper studies the effects of service offshoring on the level and skill composition of domestic employment, using a … rich data set of Italian firms and propensity score matching techniques. The results show that service offshoring has no …

Using firm-level data for Italy, we address the employment consequences of international production offshoring. We … concur with previous literature that offshoring firms' individual employment performances are no worse than at matching non-offshoring … firms. However, offshoring might impart negative spillover effects on subcontracting firms, and this indirect effect might …

2000 models of 184 car brands headquartered in 25 countries. While offshoring in the car industry has risen from 2000 to … 2013, the top five offshoring brands account for the majority of car assembly relocated to low wage countries. We show that …

We develop an endogenous growth model with R&D spillovers to study the long run consequences of offshoring with firm … upstream bargaining weight and offshoring activities, there is an inverted U-shaped relationship between these and growth …. Whether offshoring with incomplete contracts also increases consumption depends on firm heterogeneity. As for welfare, whereas …

How many "American jobs" have U.S.-born workers lost due to immigration and offshoring? Or, alternatively, is it … possible that immigration and offshoring, by promoting cost-savings and enhanced effciency in firms, have spurred the creation … model to jointly analyze the impact of a reduction in the costs of offshoring and of the costs of immigrating to the U …

The recent increase in R&D offshoring have raised fears that knowledge and competitiveness in advanced countries may be … which R&D offshoring is associated with productivity dynamics of European regions. We find that offshoring regions have … large and positive correlation emerge between the extent of R&D offshoring and the home region productivity growth …