selling abroad. Because offshoring requires larger sunk costs than domestic sourcing, some firms decide to offshore only when … between the domestic and the foreign market are greater. In turn, offshoring firms sell greater volumes, display less …

We set up a general equilibrium model, in which offshoring to a low-wage country can lead to job polarisation in the … pay wages that are positively linked to their profits by a rent-sharing mechanism. Offshoring involves fixed and task … variable offshoring costs. A reduction in those variable costs increases offshoring at the intensive and at the extensive …

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 …

) can offshore routine tasks to a low-wage host country. The most productive firms self-select into offshoring, and the … impact on welfare in the source country can be positive or negative, depending on the share of firms engaged in offshoring … among entrepreneurs is higher with offshoring than in autarky. All results hold in a model extension with firm-level rent …

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 …

the intermediate from vertically integrated producers, or from independent suppliers. In both cases, offshoring part of …

firms that are consistent with stylized facts from the recent empirical literature. -- multinational firms ; outsourcing … ; intra-firm trade ; offshoring ; vertical FDI …

. -- multinational firms ; outsourcing ; intra-firm trade ; offshoring ; vertical FDI …

causes and consequences of outsourcing. While much of this work has focused on the outsourcing versus domestic production … decision of the firm with labor cost-saving as the key driver for outsourcing, we further explore how preference …-based outsourcing may arise in a dynamic world equilibrium. We address this problem in a North-South model in which the outsourcing …

distinguish between domestic and foreign sourcing, as well as between outsourcing and vertical integration. A firm's choice is … model. -- productivity ; outsourcing ; intra-firm trade ; foreign direct investment ; incomplete contracts ; firm-level data …