unemployment decreases upon offshoring in the presence of perfect intersectoral labor mobility. If, as a result, labor moves to the … intersectoral labor mobility, unemployment in the offshoring sector can rise, with an unambiguous unemployment reduction in the non-offshoring … sector with the lower (or equal) vacancy costs, there is an unambiguous decrease in economywide unemployment. With imperfect …

adverse impact of offshoring on unskilled unemployment. The unskilled wage can increase or decrease as a result of offshoring. …In this paper, we introduce two sources of unemployment in a two-factor general equilibrium model: search frictions and … fairness considerations. We find that a binding fair-wage constraint increases the unskilled unemployment rate and can at the …

We introduce search unemployment à la Pissarides into Melitz’ (2003) model of trade with heterogeneous firms. We allow … effect of trade influences labor market outcomes. Trade liberalization lowers unemployment and raises real wages as long as …

offshoring (integration) and sourcing strategies and (4) location of firms and labor markets. Second, we overview existing …

This paper studies the relationship between immigration and offshoring by examining whether an influx of foreign … of immigrants into a municipality reduces firm-level offshoring at both the extensive and intensive margins. The fact … that immigration and offshoring are substitutes has important policy implications, since restrictions on one may encourage …

offshoring (integration) and sourcing strategies and (4) location of firms and labor markets. Second, we overview existing …

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 … externalities can help explain the dynamic process of offshoring, where the most productive firms offshore first and the others …

We introduce search unemployment à la Pissarides into Melitz' (2003) model of trade with heterogeneous firms. We allow … effect of trade influences labor market outcomes. Trade liberalization lowers unemployment and raises real wages as long as …