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This paper sets up a two-country model of offshoring with monopolistically competitive product and monopsonistically … competitive labour markets. In our model, an incentive for offshoring exists even between symmetric countries, because shifting … labour market power. However, offshoring between symmetric countries has negative welfare effects and therefore calls for …
Persistent link: https://www.econbiz.de/10014467358
the intermediate from vertically integrated producers, or from independent suppliers. In both cases, offshoring part of …
Persistent link: https://www.econbiz.de/10011761570
down outsourcing into two types by distinguishing whether or not they involve technology sharing between the two parties … technology-sharing-outsourcing IPRs promote outsourcing of more complex goods to a destination country by guaranteeing the … protection of their technology, (ii) for non-technology-related-outsourcing IPRs attract the outsourcing of less complex products …
Persistent link: https://www.econbiz.de/10010199759
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
We develop a theory of a firm in an incomplete contracts environment which decides on its complexity, organization, and global scale. Specifically, the firm decides i) how thinly it wants to slice its production process by choosing the mass of symmetric intermediate inputs that are...
Persistent link: https://www.econbiz.de/10009278130
offshoring to unregulated jurisdictions. We first apply an analytical partial-equilibrium model of a two-stage production process …
Persistent link: https://www.econbiz.de/10011122573
offshoring to unregulated jurisdictions. We first apply an analytical partial-equilibrium model of a two-stage production process …
Persistent link: https://www.econbiz.de/10011124451
from a low-wage country. Offshoring an intermediate is only profitable when it has matured sufficiently and the savings in … for parts that are only exported later, consistent with offshoring becoming gradually more difficult. …
Persistent link: https://www.econbiz.de/10010931451
This paper challenges the conventional academic view that international outsourcing is just another form of gainful … trade. Contrary to this view, we show that labor-service outsourcing can reduce the high-wage country's welfare even when …. Outsourcing's impact on welfare is worsened by a definite loss of jobs and a possible contraction in the range of varieties …
Persistent link: https://www.econbiz.de/10010931954
We develop a theory of a firm in an incomplete contracts environment which decides on the complexity, the organization, and the global scale of its production process. Specifically, the firm decides i) how many intermediate inputs are simultaneously combined to a final product, ii) if the...
Persistent link: https://www.econbiz.de/10010956712