In this paper, we develop a simple model of international outsourcing and apply it to processing trade in China. We …

reshoring or offshoring. When the demand elasticity rises with price, two policy instruments generally are needed to achieve …

be performed at home or abroad, but offshoring entails costs that vary by task. In equilibrium, the tasks with the … highest offshoring costs may not be traded. Among the remainder, those with the relatively higher offshoring costs are …

tradable tasks and use it to study how falling costs of offshoring affect factor prices in the source country. We identify a …

correspond to an increase in outsourcing by multinationals from the United States and other Northern countries, is to shift …

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 …

relevant prevalence of outsourcing and foreign direct investment …