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shares of high-skill as well as low-skill workers in the total workforce. The effects of off-shoring on wages and job … composition are also studied. Off-shoring of low-skill and high-skill tasks, not middle-skill tasks, is shown to contribute … technical change ; terms of trade ; off-shoring …
Persistent link: https://www.econbiz.de/10009515915
Persistent link: https://www.econbiz.de/10014480121
This chapter reviews the state of the international trade literature on multinational firms. This literature addresses three main questions. First, why do some firms operate in more than one country while others do not? Second, what determines in which countries production facilities are...
Persistent link: https://www.econbiz.de/10014025384
How large are spatial barriers to transferring knowledge? We analyze the international operations of multinational firms to answer this fundamental question. In our model firms can transfer bits of knowledge to their foreign a¢ liates in either embodied (traded intermediates) or disembodied...
Persistent link: https://www.econbiz.de/10008558594
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 … on offshoring. Our main results suggest that in partial equilibrium, wage effects of offshoring are fairly modest but far …
Persistent link: https://www.econbiz.de/10008468618
This paper presents and tests a new model of multinational firms to explain a rich array of multinational behavior. In contrast to most approaches, here the multinational faces costs to transferring its know-how that are increasing in technological complexity. Costly technology transfer gives...
Persistent link: https://www.econbiz.de/10005124231
paper estimates the effects of offshoring on productivity in US manufacturing industries between 1992 and 2000, using … instrumental variables estimation to address the potential endogeneity of offshoring. It finds that service offshoring has a …. Offshoring material inputs also has a positive effect on productivity, but the magnitude is smaller accounting for approximately …
Persistent link: https://www.econbiz.de/10005124479
Global production sharing is determined by international cost differences and frictions related to the costs of unbundling stages spatially. The interaction between these forces depends on engineering details of the production process with two extremes being ‘snakes’ and ‘spiders’....
Persistent link: https://www.econbiz.de/10010679147
Existing models of offshoring are not equipped to explain how global production sharing affects the volatility of … economic activity. This paper develops a trade model that can account for why offshoring industries in low wage countries such … States. We argue that a key to explaining this outcome is that the extensive margin of offshoring responds endogenously to …
Persistent link: https://www.econbiz.de/10010574406
Global production sharing is determined by international cost differences and frictions related to the costs of unbundling stages spatially. The interaction between these forces depends on engineering details of the production process with two extremes being ‘snakes’ and ‘spiders’....
Persistent link: https://www.econbiz.de/10008784697