Showing 1 - 10 of 10,692
offshoring are comparable. Finally, while multinationals manage their workforce more flexibly than domestic firms, they have …
Persistent link: https://www.econbiz.de/10009357662
model, a firm’s offshoring decision is governed by production cost savings, but also considers potential imitation risk. I … show that such a consideration reduces the level of offshoring compared to a static optimization and that adjustment of … offshoring volume with respect to changes in offshoring costs or labor endowment is characterized by overshooting and subsequent …
Persistent link: https://www.econbiz.de/10010877583
This paper challenges the conventional academic view that international outsourcing is just another form of gainful trade. Contrary to this view, we show that labor-service outsourcing can reduce the high-wage country's welfare even when product-market trade is beneficial, within a model that...
Persistent link: https://www.econbiz.de/10010931954
by the cost of task trade. Comparing orders of magnitude we conclude that offshoring between similar countries only has a … small positive effect on the managerial wage premium, compared to offshoring between countries with a different relative …
Persistent link: https://www.econbiz.de/10009216794
Mexico experienced a tremendous expansion of its export-processing maquila sector during the 1990s. At the same time, a large proportion of its labor force remains employed in the informal sector. Since one of the main objectives of the maquiladora program was to increase formal employment, we...
Persistent link: https://www.econbiz.de/10009391722
) 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 negative, depending on the share of firms engaged in offshoring … among entrepreneurs is higher with offshoring than in autarky. All results hold in a model extension with firm-level rent …
Persistent link: https://www.econbiz.de/10010604634
Offshoring has gained a significant momentum in recent years. Firm size appears to be the leading factor … differentiating firms that offshore from those that do not. We present a model that blends offshoring, or trade in tasks, with a … firm heterogeneity offers new tools for analyzing the effects of offshoring on the employment dynamics within an individual …
Persistent link: https://www.econbiz.de/10005819635
workers at home and abroad. In an extension to our baseline model, we illustrate that offshoring production from the high …
Persistent link: https://www.econbiz.de/10004964417
-way offshoring/trade-in-tasks. …
Persistent link: https://www.econbiz.de/10008468674
In this paper, in order to study the impact of offshoring on sectoral and economywide rates of unemployment, we … offshoring. This result can be understood to arise from the productivity enhancing (cost reducing) effect of offshoring. If the … search cost is identical in the two sectors, or even if the search cost is higher in the sector which experiences offshoring …
Persistent link: https://www.econbiz.de/10004970907