We propose two perspectives on U.S. manufacturing job losses to countries in Asia in 1990-2011: production cost arbitrage and the management of supply-demand mismatch. In our model, a firm facing demand uncertainty decides between investing in domestic or overseas production capacity. The model...

India is attracting significant attention as an attractive location for manufacturing industries in recent times. There have been many studies that demonstrate the rapid productivity and technological growth of Indian manufacturing industries post‐ industrial liberalization. We focus on the...