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reduce the relative prevalence of FDI or foreign outsourcing. The impact on the composition of offshoring depends on whether … supplier locations, and then study the effects of changes in the quality of contractual institutions on the relative prevalence … of these organizational forms. Better contracting institutions in the South raise the prevalence of offshoring, but may …
Persistent link: https://www.econbiz.de/10012465913
reshoring or offshoring. When the demand elasticity rises with price, two policy instruments generally are needed to achieve …
Persistent link: https://www.econbiz.de/10012660008
U.S. manufacturing employment. Our findings suggest that offshoring by multinationals was a key driver of the observed …
Persistent link: https://www.econbiz.de/10012479773
Can a country gain international competitiveness by the design of optimal monetary stabilization rules? This paper reconsiders this question by specifying an open-economy monetary model encompassing a 'production relocation externality,' developed in trade theory to analyze the benefits from...
Persistent link: https://www.econbiz.de/10012459306
We develop an equilibrium model of industrial structure in which the organization of firms is endogenous. Differentiated consumer products can be produced either by vertically integrated firms or by pairs of specialized companies. Production of each variety of consumer good requires a unique,...
Persistent link: https://www.econbiz.de/10012471481
Outsourced workers experience large wage declines, yet domestic outsourcing may raise aggregate productivity. To study … wage premia. Second, outsourcing raises output at the firm level. Third, contractors endogenously locate at the bottom of … the job ladder, implying that outsourced workers receive lower wages. Using firm-level instruments for outsourcing and …
Persistent link: https://www.econbiz.de/10012660026
We model a simple market setting in which fragmentation of trade of the same asset across multiple exchanges improves allocative efficiency. Fragmentation reduces the inhibiting effect of price-impact avoidance on order submission. Although fragmentation reduces market depth on each exchange, it...
Persistent link: https://www.econbiz.de/10012479351
Using the universe of large Canadian manufacturing firms in 1988 and 1996, we investigate to what extent outsourcing … outsourcing less likely; (ii) complementarities between the investments of the buyer and the seller are also associated with less … outsourcing; (iii) property rights predictions on the link between investment intensities and optimal ownership are only supported …
Persistent link: https://www.econbiz.de/10012464170
While outsourcing of production from the U.S. to Mexico has been hailed in Mexico as a valuable engine of growth … literature to study the second moment properties of outsourcing. We begin by documenting a new stylized fact: the maquiladora … outsourcing industries in Mexico experience fluctuations in value added that are roughly twice as volatile as the corresponding …
Persistent link: https://www.econbiz.de/10012465509
different productivity levels choose different ownership structures and supplier locations, i.e., they choose different …
Persistent link: https://www.econbiz.de/10012468612