improvements in the informal sector expand both offshoring and outsourcing, and the developed nation wage must rise. When the …We present a model of offshoring of tasks to a developing nation, which is characterized by a minimum wage formal … informal sector. An improvement in the productivity in performing offshored tasks in the developing country raises offshoring …

pollution haven hypothesis whereby offshoring is central to the mechanism - US manufacturers begin to source from abroad and …

The various channels through which a reduction in the cost of offshoring can improve wages in a developed country are … by now well understood. But does a similar reduction in the offshoring cost also benefit workers in the world's factories … in developing countries? Using a parsimonious two-country model of offshoring we find very nuanced results. These include …

We construct a model of offshoring with externalities and firm heterogeneity. Due to the presence of externalities …, temporary shocks like the Y2K problem can have permanent effects, i.e., they can permanently raise the extent of offshoring in … an industry. Also, the initial advantage of a country as a potential host for outsourcing activities can create a lock in …

In this paper we survey the recent empirical literature on the effects of offshoring on wage, employment and … displacement. We start with an overview of the measurement of offshoring, organizing our discussion around the three key elements … of offshoring: that it involves intermediate inputs for production (vs. final goods for consumption); that it involves …

The offshoring of production by multinational firms has expanded dramatically in recent decades, increasing these firms … probability. We also show that a firm's probability of offshoring increases with the share of its employees who are immigrants …

factor. Offshoring jobs abroad may change the composition of domestic firms and employment and thus reduce union density … workers and firms in Denmark (1999-2017), which allows us to measure the exogenous threat of offshoring at the firm-level and … the unionization decisions of individual workers. The findings show that the threat of offshoring reduces unionization …