chapter compares the impact of international trade in intermediate inputs (offshoring) on wage inequality in two distinct but … similar frameworks. In the first framework the profitability of offshoring is based on increasing returns to scale on the task …-level, whereas the second framework relies on differences in relative factor endowments of the two countries involved in offshoring …

Services offshoring is on the rise. Due to recent innovations in communication technologies, many services that used to … over the past decades, indicating under-exploitation of the potential for services offshoring. To understand this … establishes that the level of services offshoring is lower in industries with greater offshoring potentials, as captured by their …

This Briefing Note considers recent trends in specialisation, outsourcing and offshoring of businessservices … activities out of the back office of a factory, and into a specialised payroll office.Outsourcing is specialisation outside the … firm. This occurs when firms opt to ‘buy’ rather than ‘make’ inhouse.Outsourcing involves greater specialisation as firms …