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contract for manufacturing services, I show that domestic fragmentation: i) is far more prevalent than offshoring; ii) changes …
Persistent link: https://www.econbiz.de/10010859481
We study the short- and long-run implications of offshoring on innovation, technology adoption, wage and income …-abundant West to a skill-scarce East. Profit maximization determines both the extent of offshoring and technological progress …. offshoring induces technical change with an ambiguous factor bias. When the initial level of offshoring is low, an increase in …
Persistent link: https://www.econbiz.de/10010950605
Historically, the integration of international markets has corresponded with decreasing prices for traded goods due to higher competition among suppliers, scale economies, and consumption demand. In recent years, product differentiation and multinational firm pricing behavior across markets and...
Persistent link: https://www.econbiz.de/10008512978
We analyze recent contributions to growth theory based on the model of expanding variety of Romer (1990). In the first part, we present different versions of the benchmark linear model with imperfect competition. These include the "lab equipment" model, "labor-for-intermediates" and "directed...
Persistent link: https://www.econbiz.de/10010547273