I develop a generalized factor price frontier which incorporates endogenous adjustment of international fragmentation …. The paper identifies conditions under which outsourcing to a low-wage country is a "friend" or an "enemy" to domestic …

Economic globalization causes an increasing international fragmentation (disintegration) of value-added-chains, whereby … characterize the distributional consequences of an increase in international fragmentation occurring simultaneously in several …

International fragmentation, or outsourcing, is often referred to as a distinctly novel feature in today's global … outsourcing targets for western European firms. Against this background this paper provides a policy-oriented discussion of cross … European point of view. Specifically, the paper idetifies conditions under which outsourcing is beneficial for a western …

outsourcing, or international fragmentation. Economists have investigated this phenomenon with a focus on welfare and factor price … effects, mainly using Heckscher-Ohlin-type trade models. Existing studies emphasize a positive welfare effect of international … modeling differences that drive the differing results. It then presents an alternative view on international fragmentation …