In this paper, we develop a two-sector general equilibrium trade model which includes offshoring, sequential production … technological change affect equilibrium offshoring patterns. We show that, against common belief, a reduction in trade costs lowers … the range of tasks offshored even though the aggregate volume of offshoring may increase. …

In this paper, we develop a two-sector general equilibrium trade model which includes offshoring, sequential production … technological change affect equilibrium offshoring patterns. We show that, against common belief, a reduction in trade costs lowers … the range of tasks offshored even though the aggregate volume of offshoring may increase. …

In this paper, we develop a two-sector general equilibrium trade model which includes offshoring, sequential production … technological change affect equilibrium offshoring patterns. We show that, against common belief, a reduction in trade costs lowers … the range of tasks offshored even though the aggregate volume of offshoring may increase. …

In this paper, we develop a two-sector general equilibrium trade model which includes offshoring, sequential production … technological change affect equilibrium offshoring patterns. We show that, against common belief, a reduction in trade costs lowers … the range of tasks offshored even though the aggregate volume of offshoring may increase. …

In this paper, we develop a two-sector general equilibrium trade model which includes offshoring, sequential production … technological change affect equilibrium offshoring patterns. We show that, against common belief, a reduction in trade costs lowers … the range of tasks offshored even though the aggregate volume of offshoring may increase. …

outsourcing decisions to cheap-labor economies. We highlight how firms' technology transformations due to globalization will …-skilled workers – might nevertheless gain from the surge of offshore outsourcing. We also show that extending the model to the more …