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 …

In this paper, in order to study the impact of offshoring on sectoral and economywide rates of unemployment, we … offshoring. This result can be understood to arise from the productivity enhancing (cost reducing) effect of offshoring. If the … search cost is identical in the two sectors, or even if the search cost is higher in the sector which experiences offshoring …