Bandyopadhyay, Subhayu; Wall, Howard J. - Institute for the Study of Labor (IZA) - 2005
With outsourcing comes a perceived tension between the competitive pressures faced by domestic firms and the effect … that outsourcing has on domestic workers. To address this tension, we present a general-equilibrium model with an … oligopolistic export sector and a competitive import-competing sector. When there is a minimum wage, an outsourcing tax might be …