a simple model of employment outsourcing, the primary implication of which is that firms will respond to externally … imposed firing costs by outsourcing positions requiring the least firm-specific skills rather than those with the highest …

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 …

analysis of our testable predictions using pharmaceutical data concerning patents, patent expiration, and outsourcing at …

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 …

Using the universe of large Canadian manufacturing firms in 1988 and 1996, we investigate to what extent outsourcing … outsourcing less likely; (ii) complementarities between the investments of the buyer and the seller are also associated with less … outsourcing; (iii) property rights predictions on the link between investment intensities and optimal ownership are only supported …

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 …