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Low-skill offshoring : labor market policies and welfare effects

Agnese, Pablo; Hromcová, Jana - 2014

We analyze the effect of low-skill workers offshoring on the welfare of the economy. In the context of a matching model … offshoring, namely, an increase of the unemployment benefits and the flexibilization of the labor market. Our results suggest … unemployment benefits to compensate for the negative welfare effects of offshoring, it would only take a small reduction in the …

Persistent link: https://www.econbiz.de/10010354721

Offshoring, endogenous skill decision, and labor market outcomes

Agnese, Pablo; Hromcová, Jana - 2016

We discuss the effects of low-skill offshoring on the endogenous schooling decision of workers along with the potential …-deteriorating effects of offshoring. As a result, we aim at restoring welfare by increasing the opportunity cost of staying low-skill. In … offshoring that befall those in the lowest end of the skill ladder. …

Persistent link: https://www.econbiz.de/10011571980

Offshoring and skill-biased technical change in the context of US protectionism

Agnese, Pablo; Hromcová, Jana - 2019

We discuss the effects of offshoring on the labor market in a matching model with endogenous adjustment of educational … skills. We carry out a comparative statics analysis and show that offshoring leads to a restructuring of the economy through … skill-biased technical change (SBTC) where overall welfare is improved. In a policy exercise we show that, if offshoring …

Persistent link: https://www.econbiz.de/10012107297

Gravity Redux: Estimation of gravity-equation coefficients, elasticities of substitution, and general equilibrium comparative statics under asymmetric bilateral trade costs

Bergstrand, Jeffrey H.; Egger, Peter; Larch, Mario - In: Journal of International Economics 89 (2013) 1, pp. 110-121

A large class of models with CES utility and iceberg trade costs are now known to generate isomorphic “gravity equations.” Economic interpretations of these gravity equations vary in terms of two basic elements: the exporter's “mass” variable and the elasticity of trade with respect to...

Persistent link: https://www.econbiz.de/10011056323

Optimal tariffs, retaliation, and the welfare loss from tariff wars in the Melitz model

Felbermayr, Gabriel; Jung, Benjamin; Larch, Mario - In: Journal of International Economics 89 (2013) 1, pp. 13-25

This paper characterizes analytically the optimal tariff of a large one-sector economy with monopolistic competition and firm heterogeneity in general equilibrium, thereby extending the small-country results of Demidova and Rodríguez-Clare (JIE, 2009) and the homogeneous firms framework of Gros...

Persistent link: https://www.econbiz.de/10011056329

Spatial exporters

Defever, Fabrice; Heid, Benedikt; Larch, Mario - In: Journal of International Economics 95 (2015) 1, pp. 145-156

In this paper, we provide causal evidence that firms serve new markets which are geographically close to their prior export destinations with a higher probability than standard gravity models predict. We quantify the impact of this spatial pattern using a data set of Chinese firms which had...

Persistent link: https://www.econbiz.de/10011191003