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Offshoring domestic jobs
Egger, Hartmut; Kreickemeier, Udo; Wrona, Jens - 2013
We set up a two-country general equilibrium model, in which heterogeneous firms from one country (the source country) can offshore routine tasks to a low-wage host country. The most productive firms self-select into offshoring, and the impact on welfare in the source country can be positive or...
Persistent link: https://www.econbiz.de/10010311079
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Monopsony Power, Offshoring, and a European Minimum Wage
Egger, Hartmut; Kreickemeier, Udo; Wrona, Jens - 2024
This paper sets up a two-country model of offshoring with monopolistically competitive product and monopsonistically competitive labour markets. In our model, an incentive for offshoring exists even between symmetric countries, because shifting part of the production abroad reduces local labour...
Persistent link: https://www.econbiz.de/10014534435
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International fragmentation : boon or bane for domestic employment?
Egger, Hartmut; Kreickemeier, Udo - 2005
In this paper, we introduce the fairness approach to efficiency wages into a standard model of international fragmentation. This gives us a theoretical framework in which wage inequality and unemployment rates are co-determined and therefore the public concern can be addressed that international...
Persistent link: https://www.econbiz.de/10010261371
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Firm heterogeneity and the labour market effects of trade liberalisation
Egger, Hartmut; Kreickemeier, Udo - 2007
gains from trade accompanied by distributional conflicts, which have so far not been accounted for in the literature: a …
Persistent link: https://www.econbiz.de/10010264131
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Fairness, trade, and inequality
Egger, Hartmut; Kreickemeier, Udo - 2008
We develop a model of international trade between two symmetric countries that features inter-group inequality between … this framework international trade leads to a self-selection of the best firms into export status, and aggregate welfare … increases if this selection effect is sufficiently strong. Gains from trade are accompanied by larger inequality along multiple …
Persistent link: https://www.econbiz.de/10010264394
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Why Foreign Ownership May be Good for You
Kreickemeier, Udo; Egger, Hartmut - 2010
We develop a general equilibrium two-country model with heterogeneous producers, self-selection of only the most productive firms into multinational activity and rent sharing at the firm level due to fairness preferences of workers. In this setting, we identify two major sources of a...
Persistent link: https://www.econbiz.de/10010270265
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Worker-specific effects of globalisation
Egger, Hartmut; Kreickemeier, Udo - 2009
framework to study worker-specific effects of trade between two symmetric countries. Exporters in this setting make higher … from trade and, all other things equal, makes a negative employment effect of trade more likely. Furthermore, it … from autarky to trade. …
Persistent link: https://www.econbiz.de/10010274385
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International trade, union wage premia, and welfare in general equilibrium
Kreickemeier, Udo; Meland, Frode - 2011
We study how two distinct forms of globalisation, trade cost reductions and opening up of trade in previously shielded … aggregate welfare are affected differently by the two types of globalisation. Trade cost reductions in open sectors always lead …
Persistent link: https://www.econbiz.de/10010274887
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International trade, union wage premia, and welfare in general equilibrium
Kreickemeier, Udo; Meland, Frode - 2011
We study how two distinct forms of globalisation, trade cost reductions and opening up of trade in previously shielded … aggregate welfare are affected differently by the two types of globalisation. Trade cost reductions in open sectors always lead …
Persistent link: https://www.econbiz.de/10010304637
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Why foreign ownership may be good for you
Egger, Hartmut; Kreickemeier, Udo - 2011
We develop a general equilibrium two-country model with heterogeneous producers and rent sharing at the firm level due to fairness preferences of workers. We identify two sources of a multinational wage premium. On the one hand, there is a pure composition effect because multinational firms are...
Persistent link: https://www.econbiz.de/10010307350