The outsourcing boom being observed in India is actually a part of a much bigger worldwide phenomenon of international fragmentation in production and trade. Outsourcing of manufacturing parts has been going on for quite some time, whereas outsourcing of services is a relatively recent...

International outsourcing of services has come to occupy an increasingly important part of international trade. Analytically services outsourcing is the export of services by a country to the outsourcing nation. Given this, the pattern of trade in these services would be decided in line with...

The structure of production and trade that exists in an economy can be taken to 'reveal' the current or recent past in terms of trends in comparative advantage. Traditionally the HO model characterizes the US as being rich in human capital which gives it a comparative advantage in services....

For a developing economy such as India with a large pool of trained manpower outsourcing represents a huge economic opportunity. In the West there has been considerable media led agitation against outsourcing due to the unemployment it causes. The key point is that jobs created by outsourcing...