Why do firms decide to offshore certain parts of their production process? Whatqualifies certain countries as particularly attractive locations to offshore? In thispaper we address these questions with a theory of international production hierarchiesin which organizations arise endogenously to...

How does the formation of cross-country teams affect the organization of workand the structure of wages? To study this question, we propose a theory of theassignment of heterogeneous agents into hierarchical teams, where less skilledagents specialize in production and more skilled agents...

The authors propose a theory of task trade between countries that have similar relative factor endowments and technological capabilities but may differ in size. Firms produce differentiated goods by performing a continuum of tasks, each of which generates local spillovers. Tasks can be performed...

For centuries, most international trade involved an exchange of complete goods. But, with recent improvements in transportation and communications technology, it increasingly entails different countries adding value to global supply chains, or what might be called quot;trade in tasks.quot; We...