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The division of labor between and within countries is driven by two fundamental forces, comparative advantage and increasing returns. We set up a simple Ricardian model with a Marshallian input sharing mechanism to study their interplay. The key insight that emerges is that the interaction...
Persistent link: https://www.econbiz.de/10011543995
This paper examines how firms in an emerging economy are affected by violence due to drug trafficking. Employing rich longitudinal plant-level data covering all of Mexico from 2005–2010, and using an instrumental variable strategy that exploits plausibly exogenous spatiotemporal variation in...
Persistent link: https://www.econbiz.de/10013170284
"Guest workers" earn higher wages overseas on temporary low-skill employment visas. This wage effect can quantify global inefficiencies in the pure spatial allocation of labor between poorer and richer countries. But rigorous estimates are rare, complicated by migrant self-selection. This paper...
Persistent link: https://www.econbiz.de/10011974366
unemployment decreases upon offshoring in the presence of perfect intersectoral labor mobility. If, as a result, labor moves to the … intersectoral labor mobility, unemployment in the offshoring sector can rise, with an unambiguous unemployment reduction in the non-offshoring … unemployment in this sector rising. -- Trade ; offshoring ; search ; unemployment …
Persistent link: https://www.econbiz.de/10003831894
and non-routine content. -- Tasks ; offshoring ; outsourcing ; skills ; wages …The paper investigates the relationship between offshoring, wages, and the ease with which individuals' tasks can be … suitability of a task for offshoring and the associated skill level. Accordingly, wage effects of offshoring can be very …
Persistent link: https://www.econbiz.de/10003944285
Offshoring is generally believed to be productivity-enhancing and this belief is underpinned by economic theory. This … article contributes to the growing literature that tests empirically whether offshoring does indeed help to improve … productivity. Estimating the impact of materials and business services offshoring on productivity growth with industry-level data …
Persistent link: https://www.econbiz.de/10009308832
We investigate the impact of offshoring on individual level wages and unemployment probabilities and pay particular …. Data are taken from the German Socio-Economic Panel (SOEP), linked with industry-level data on offshoring of materials and … significant reduction in wages as materials offshoring increases, while permanent workers' wages are unaffected or even tend to …
Persistent link: https://www.econbiz.de/10009629697
First moves towards a real understanding of offshoring date back to very recent times. In particular for Japan, the … studies conducted so far focus alone on the productivity effects of offshoring at the firm level. Here I carry out the …-2005. Moreover, I consider all industries within the economy and take account of both services and materials offshoring. My results …
Persistent link: https://www.econbiz.de/10009230680
We analyze and assess new evidence on employment dynamics from a new data source the National Establishment Time Series (NETS). The NETS offers advantages over existing data sources for studying employment dynamics, including tracking business establishment relocations that can contribute to job...
Persistent link: https://www.econbiz.de/10003248655
We study the relationship between offshoring and job stability in Italy in the period 1995-2001 by using an … stability. Service offshoring and material purchases from developed countries foster job-to-job transitions within manufacturing … material offshoring to low income countries which drives blue collar workers out of manufacturing. Therefore, policy …
Persistent link: https://www.econbiz.de/10009536405