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We consider the welfare effects of the emigration of workers who produce a public good (knowledge). We distinguish between the knowledge diversion and knowledge creation effects of such emigration, and show that the remaining residents of a country can gain from emigration, even when tastes for...
Persistent link: https://www.econbiz.de/10005566571
offshoring involves job destruction, especially when the destination is a low-wage country. In such circumstances, staying … negative. Our evidence also shows that offshoring to high-wage countries stimulates the vertical mobility of employees in …
Persistent link: https://www.econbiz.de/10010884090
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/10010884257
This paper investigates the dynamics of the distribution of unconditional and conditional – on technology – wages in Europe, using both industry and individual level data for the period 1995-2007. We find that the unconditional wage distribution shows scant signs of polarization in Europe....
Persistent link: https://www.econbiz.de/10010959717
explanation is at odds with the sequence of observed facts. We propose and model an alternative scenario in which offshoring …
Persistent link: https://www.econbiz.de/10011212573
We study the relationship between offshoring and job stability in Italy in the period 1995–2001 by using an … stability. Service offshoring and material purchases from developed countries foster job-to-job transitions within manufacturing … material offshoring to low income countries which drives blue collar workers out of manufacturing. Therefore, policy …
Persistent link: https://www.econbiz.de/10011279284
The subject of offshoring and productivity has not yet received the attention it deserves. Here I propose a simple …-series perspective. This framework is then used to assess the impact of offshoring on skill upgrading and the labor share. For both … should be interpreted with caution yet clearly suggest that offshoring can improve labor productivity in the Semiconductors …
Persistent link: https://www.econbiz.de/10011252276
immigration of individuals. The second is that the emigration of jobs from Europe to other regions of the world through offshoring … from immigration and offshoring on a firmer empirical foundation; and second, to explore changes in the European social … increased global competition from emerging market economies. Both immigration and offshoring confront European policy makers …
Persistent link: https://www.econbiz.de/10005761663
therefore, in the unemployment rate. Furthermore, a firm can increase its domestic employment through offshoring. Also, such a …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 …
Persistent link: https://www.econbiz.de/10005761824
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 … externalities can help explain the dynamic process of offshoring, where the most productive firms offshore first and the others …
Persistent link: https://www.econbiz.de/10005703445