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Germany exhibits a strong reduction in domestic manufacturing production depth (bazaar effect). I argue that this reflects an unbundling of comparative advantage. Using a model where Ricardian plus Heckscher-Ohlin-type comparative advantage relates to fragments of production, I compare a trading...
Persistent link: https://www.econbiz.de/10010274459
The globalization of R&D activities has continued its growth path as companies are increasingly trying to capture …-intensive businesses has led researchers and analysts to pursue a deeper understanding of the globalization of corporate R&D and the … related driving factors and impacts. This introduction to the Special Section: Globalization and Corporate R&D forthcoming in …
Persistent link: https://www.econbiz.de/10010278539
. Such outsourcing leads to increased wages for the remaining inhouse production. We find that stronger unions, which imply … higher domestic wages, reduce incentives for international outsourcing. Though somewhat surprising, this result provides a … theoretical reconciliation of the empirically observed trends of deunionization and increased international outsourcing in many …
Persistent link: https://www.econbiz.de/10010261336
manufacturing and product specificity of in-house production. In this framework, globalization can lead to alternating waves of … insourcing and outsourcing, but once the world market reaches a threshold size, outsourcing prevails. We also derive a number of …
Persistent link: https://www.econbiz.de/10010296394
This paper brings forward a three-country model to analyze the internationalization process in the age of globalization …
Persistent link: https://www.econbiz.de/10010260623
National and multinational companies coexist in many sectors of all developed countries. However, economic models fail to reproduce this fact because of the assumption of symmetry between companies. To show that the symmetry assumption is the reason for this failure, a two-country general...
Persistent link: https://www.econbiz.de/10010260442
recent decades as a result of increased globalization of knowledge, technologies and economies. In particular I look at the … development in a number area where similar trends are observed. The areas studied include globalization, in-sourcing and … outsourcing activities, the increased flow of direct foreign investment and its heterogeneous regional distribution, the increased …
Persistent link: https://www.econbiz.de/10010268174
Globalization and pressure from increased competition have led to "splintering" of in-house services from formerly … integrated manufacturing firms in developed economies and, at the same time, to an increase in "outsourcing" of these same …
Persistent link: https://www.econbiz.de/10011429868
We introduce collective bargaining in a static framework where the firm and its risk-neutral employees negotiate over wages in a non-binding contract setting. Our main result is the equivalence between the non-binding collective equilibrium wage-employment contract and the equilibrium contract...
Persistent link: https://www.econbiz.de/10010325839
We analyze the effect of outsourcing on union wages in a simple two-stage game between a firm and a union. In contrast …
Persistent link: https://www.econbiz.de/10010263690