We provide a comprehensive empirical analysis of the links between international services outsourcing, domestic … outsourcing, profits and innovation using plant level data. We find a positive effect of international outsourcing of services on … innovative activity at the plant level. Such a positive effect can also be observed for domestic outsourcing of services, but the …

not accurately distinguished between offshoring, domestic outsourcing, and the substitution of domestic by foreign … offshoring and domestic outsourcing with a firm panel. I find that offshoring of non-core activities has led to productivity … gains whereas offshoring of core activities and domestic outsourcing have had no such effects. The estimated productivity …

This paper investigates the effects of services offshoring on wages using individual level data combined with industry … information on offshoring. Our results show that services ofsshoring affects the real wage of low and medium skilled individuals … negatively. By contrast, skilled workers benefit from services offshoring in terms of higher real wages. Hence, offshoring has …

multinationals, are less likely to rely on imported or internally provided services. -- International trade ; services ; off-shoring …