. -- multinational firms ; outsourcing ; intra-firm trade ; offshoring ; vertical FDI …

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 …

). It turns out that, compared to non-offshoring firms, firms that relocated activities were larger and more productive, and … relocate, and this points to self-selection of "better" firms into offshoring. This finding is in line with results from recent … others were not. Broadly in line with hypotheses derived from the literature there is no evidence that offshoring has a …

on offshoring. Furthermore, when splitting the sample according to the technological level, the effect is negative and …

-level trade flows with firm-specific instrumental variables based on world demand and supply shocks. Both export and offshoring … shocks have a positive effect on wages. Exports increase wages for all occupational categories while offshoring has … elasticity of wages with respect to exports and offshoring is higher than in firms with no collective bargaining. Wage gains …

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 …