Outsourced workers experience large wage declines, yet domestic outsourcing may raise aggregate productivity. To study … wage premia. Second, outsourcing raises output at the firm level. Third, contractors endogenously locate at the bottom of … the job ladder, implying that outsourced workers receive lower wages. Using firm-level instruments for outsourcing and …

We develop a theory of outsourcing in which there is market power in one factor market (labor) and no market power in a … show there is always outsourcing in the market allocation when a friction limiting outsourcing is not too big. The key … equilibria that vary in the degree of outsourcing. Across these equilibria, wages are lower the greater the degree of outsourcing …

outsourcing grew at rates experienced during 1996-2005 in business, professional and technical services i.e., in segments where … outsourcing (1) would switch 4-digit occupations 2 percent less often, (2) would spend 0.1 percent less time unemployed, and (3 …We examine the impact on U.S. labor markets of offshore outsourcing in services to China and India. We also consider …

This paper reviews the political uproar over offshore outsourcing connected with the release of the Economic Report of … offshore outsourcing, and assesses the empirical evidence on the importance of offshore outsourcing in accounting for the weak … offshore outsourcing is unlikely to have accounted for a meaningful part of the job losses in the recent downturn or …

We explore the relationship between proximity of buyers and sellers and the organizational form of outsourcing …. Outsourcing can be "contractual" in which suppliers undertake specific investments or involve "generic" market transactions …

an industry. Also, the initial advantage of a country as a potential host for outsourcing activities can create a lock in … outsourcing …

outsourcing decisions are affected by changes in country and competitor costs. A number of interesting regularities emerge. When a … developed countries. In many cases, the measured responses to cost changes appear to correspond with outsourcing theories that …

In this paper, we develop a simple model of international outsourcing and apply it to processing trade in China. We …