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 …

The extent and structure of outsourcing and offshoring since 1971 is examined in this paper. Official statistics show …. Business cycle influences on the development of outsourcing and offshoring are low. Outsourcing varies by sector and size of … intermediate inputs and the wage ratio suggests that labor costs as a reason to outsourcing has decreased. Also, offshoring has …

This paper studies the impact of outsourcing on individual wages in three European countries with markedly different … and construct comparable measures of outsourcing at the industry level, distinguishing outsourcing by broad region. We … discuss some possible intuitive reasons for why there may be differences in the impact of outsourcing across the three …

outsourcing of production. The analyses of these studies are considerably constrained by limitations in the international trade … impact of foreign offshoring of intermediate inputs on the growing wage gap in U.S. manufacturing industries is larger than …