We explore the relationship between proximity of buyers and sellers and the organizational form of outsourcing …. Outsourcing can be "contractual" in which suppliers undertake specific investments or involve "generic" market transactions …

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 …

International outsourcing to lower cost countries such as China and India can best be understood through the enrichment … insights into the forces driving international outsourcing. The paper focuses on relationship-specific investment, incomplete … contracts, and also search and matching, as fundamental concepts that explain outsourcing decisions …

relevant prevalence of outsourcing and foreign direct investment …

We study the determinants of the extent of outsourcing and of direct foreign investment in an industry in which …

We study the determinants of the location of sub-contracted activity in a general equilibrium model of outsourcing and … trade. We model outsourcing as an activity that requires search for a partner and relationship-specific investments that are … governed by incomplete contracts. The extent of international outsourcing depends inter alia on the thickness of the domestic …