We examine how information technology (IT) contributes to organizational change,labor demand, and improved productivity in the public sector using a new paneldata set of police departments covering 1987-2003. While IT adoption is associatedwith increased administrative and organizational...

Why do firms decide to offshore certain parts of their production process? Whatqualifies certain countries as particularly attractive locations to offshore? In thispaper we address these questions with a theory of international production hierarchiesin which organizations arise endogenously to...

Two recent failures of the United States intelligence system have led to thecreation of high-level investigative commissions. The failure to prevent theterrorist attacks of 9/11 prompted the creation of the 9/11 Commission, andthe mistaken belief that Saddam Hussein had retained weapons of...

Garicano and Rossi-Hansberg (2003) show that knowledge-based hierarchies arecharacterized by positive sorting between workers and managers when knowledgeacquisition takes place before production. We extend the analysis and find thatcomplementarities between manager and worker skill are even...