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In this paper, I examine how the growth of offshore assembly in Mexico has affected manufacturing activity in U ….S.-manufactured components receive preferential tariff treatment upon reentry into the United States. Foreign assembly plants in Mexico, most of … Mexico increases the demand for manufacturing goods produced in U.S. border cities. Implications of the North American Free …
Persistent link: https://www.econbiz.de/10012473467
In this paper, we examine the increase in the relative wages of skilled workers in Mexico during the 1980s. We argue … that rising wage inequality in Mexico is linked to capital inflows from abroad. The effect of these capital inflows, which … production in Mexico towards relatively skill-intensive goods thereby increasing the relative demand for skilled labor. We study …
Persistent link: https://www.econbiz.de/10012473764
Supply chain disruptions, which have become commonplace, are often associated with globalization and trade. Little is known about optimal policy in the face of insecure supply chains. Should governments promote resilience by subsidizing backup sources of input supply? Should they encourage firms...
Persistent link: https://www.econbiz.de/10012660008
The Covid-19 pandemic has introduced huge numbers of employers and employees to remote work. How many of these newly remote jobs will go overseas? We offer a rough quantification based on two observations: 1) offshore work is trade in services, and 2) the number of telemigrants is the volume of...
Persistent link: https://www.econbiz.de/10012660065
We use data from a large web-based job platform to study how the price of remote work is determined in a globalized labor market. In the platform, workers from around the world compete for jobs that can be done remotely. We document that, despite the global nature of the marketplace, the...
Persistent link: https://www.econbiz.de/10012660114
Does the offshoring of production degrade or enhance the innovative capabilities of manufacturing firms? We contribute to this debate by exploiting a policy shock that differentially affected the ability of Taiwanese firms to offshore some products to China. We find causal evidence that...
Persistent link: https://www.econbiz.de/10012616565
This paper estimates the role of country-variety comparative advantage in the decision to offshore assembly of more than 2000 models of 197 car brands headquartered in 23 countries. While offshoring in the car industry has risen from 2000 to 2016, the top five offshoring brands account for half...
Persistent link: https://www.econbiz.de/10012479567
We provide new facts about the role of multinationals in the decline in U.S. manufacturing employment between 1993-2011, using a novel microdata panel with firm-level ownership and trade information. Multinational-owned establishments displayed lower employment growth than a narrow control group...
Persistent link: https://www.econbiz.de/10012479773
Skilled immigration restrictions may have secondary consequences that have been largely overlooked in the immigration debate: multinational firms faced with visa constraints have an offshoring option, namely, hiring the labor they need at their foreign affiliates. If multinationals use this...
Persistent link: https://www.econbiz.de/10012481393
This paper exploits a unique offshoring survey to show that firms continue domestic production of the same goods they offshore to low-wage countries. This shift towards "produced-good imports" coincides with a reallocation of labor from physical production to innovation and technology...
Persistent link: https://www.econbiz.de/10012482035