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Estimating the causal effect of offshoring on domestic employment is difficult because of the inherent simultaneity of …. Underlying these results is substantial heterogeneity based on offshoring margin and firm organizational structure. For example …
Persistent link: https://www.econbiz.de/10012944101
offshoring” process on U.S. domestic employment and earnings in relevant services sectors. It draws upon relatively new … offshoring process sparked intense professional discussion. The study documents that U.S. trade in IT-enabled services is … computer services, an indication of substantial offshoring in that area; moreover, the significant two-way trade pattern in the …
Persistent link: https://www.econbiz.de/10014102399
We set up a general equilibrium model, in which offshoring to a low-wage country can lead to job polarisation in the … pay wages that are positively linked to their profits by a rent-sharing mechanism. Offshoring involves fixed and task … variable offshoring costs. A reduction in those variable costs increases offshoring at the intensive and at the extensive …
Persistent link: https://www.econbiz.de/10011551032
In this paper, we revisit questions about the onshore employment effects of firms that conduct foreign direct investment (FDI) in countries with substantially lower average wages. Our results derive from the use of rich administrative records on the universe of employees in German multinational...
Persistent link: https://www.econbiz.de/10012519589
This paper studies the relationship between immigration and offshoring by examining whether an influx of foreign … of immigrants into a municipality reduces firm-level offshoring at both the extensive and intensive margins. The fact … that immigration and offshoring are substitutes has important policy implications, since restrictions on one may encourage …
Persistent link: https://www.econbiz.de/10011847152
We develop a theoretical framework to explain firms' offshoring decisions in the presence of uncertainty. This model … sharp prediction of the prevalence of offshoring in a given industry: The propensity of firms to source intermediate inputs … particularly pronounced in industries with higher volatility. Combining industry-level data on the U.S. offshoring intensity with …
Persistent link: https://www.econbiz.de/10011882486
Do investments in the Czech Republic lead to employment growth or employment losses in the German firms involved? To address this question, a unique database about German firms with foreign direct investment (FDI) in the Czech Republic and firms without FDI in any country has been established...
Persistent link: https://www.econbiz.de/10011795276
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 … labour market power. However, offshoring between symmetric countries has negative welfare effects and therefore calls for …
Persistent link: https://www.econbiz.de/10014467358
level. The analysis is based on a Finnish weighted sample of 652 firms and screens the effect of offshoring different kinds … of tasks. Two main channels of offshoring tasks are taken into account: offshore outsourcing and in-house offshoring. The … main conclusion is that offshoring can significantly affect the total domestic employment but that the significance and the …
Persistent link: https://www.econbiz.de/10003774756
). It turns out that, compared to non-offshoring firms, firms that relocated activities were larger and more productive, and … relocate, and this points to self-selection of betterʺ firms into offshoring. This finding is in line with results from recent … others were not. Broadly in line with hypotheses derived from the literature there is no evidence that offshoring has a …
Persistent link: https://www.econbiz.de/10003915643