Showing 1 - 10 of 34
We develop a theory of a firm in an incomplete contracts environment which decides on its complexity, organization, and global scale. Specifically, the firm decides i) how thinly it wants to slice its production process by choosing the mass of symmetric intermediate inputs that are...
Persistent link: https://www.econbiz.de/10013120903
Germany exhibits a strong reduction in domestic manufacturing production depth (bazaar effect). I argue that this reflects an unbundling of comparative advantage. Using a model where Ricardian plus Heckscher-Ohlin-type comparative advantage relates to fragments of production, I compare a trading...
Persistent link: https://www.econbiz.de/10012777491
The paper investigates the consequences of outsourcing of labor intensive activities to lowwage economies. This trend … markets are missing. The main results are: (i) outsourcing raises unemployment and labor income risk of unskilled workers; (ii …) it increases inequality among high- and low-income groups; and (iii) the gains from outsourcing can be made Pareto …
Persistent link: https://www.econbiz.de/10013316451
activities. The result of this is that outsourcing has contributed to an increase in the strategic impact of purchasing … departements. This article builds on the reasoning that the outsourcing process belongs to the purchasing departments themselves …. Two fundamental questions are asked: What purchases should be covered by outsourcing? Which activities, internal to the …
Persistent link: https://www.econbiz.de/10005263488
organizational decision is driven by two countervailing effects: the ownership rights effect favors outsourcing, while the “indirect … outsourcing of the “less important” supplier is chosen in equilibrium. We also consider an open economy setup where the producer …
Persistent link: https://www.econbiz.de/10010550244
This paper deals with optimal income taxation under labor outsourcing and FDI. We show how the optimal income tax … response to the joint effect of outsourcing and FDI depends on whether FDI is complementary with, or substitutable for …
Persistent link: https://www.econbiz.de/10008596589
We develop a theory of a firm in an incomplete contracts environment which decides on its complexity, organization, and global scale. Specifically, the firm decides i) how thinly it wants to slice its production process by choosing the mass of symmetric intermediate inputs that are...
Persistent link: https://www.econbiz.de/10009278130
-skilled labor and perfect competition in high-skilled labor in the presence of outsourcing? A higher degree of tax progression by …
Persistent link: https://www.econbiz.de/10008727293
Outsourcing is one of the main origins of firm's shrinkage. Outsourcing strategy can be defined as the purchase of a … consequences of outsourcing ? Transaction Cost Theory (TCT) and Resource Based View (RBV) literature are the main theories … mobilized to understand outsourcing strategy. We present the case study of a French company that outsourcized most of its …
Persistent link: https://www.econbiz.de/10005111137
is to understand why some firms renegotiate their outsourcing contracts. The relationship between the age of the … outsourcing contract and the number of renegotiations is straightforward. Older contracts are more likely to require adjustments … examined. This paper finds that the positive relationship between the age of outsourcing contracts and the number of …
Persistent link: https://www.econbiz.de/10005111220