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This paper studies the impact of innovation on the organizational structure. The theoretical framework predicts that a larger parental pool of knowledge raises the probability of oshoring. This holds in a national as well as an international context. However, when the producer loses territorial...
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(products) of the economy and thus also includes employment effects of service offshoring. Third, we also calculate the …
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This article explores the impact of innovation, offshoring and demand on profits and wage dynamics. The growing … highlights the contrasting effects of R&D and offshoring as wage determinants - the former exerts a positive effect while the …-skilled workers are favored by both innovation and offshoring, offshoring exerts downward pressure primarily on low-skilled wages (not …
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floor level) and the principle of effective demand. In particular we focus on the role of technology and offshoring as … Kingdom. The contrasting effects of R&D and offshoring emerge as determinants of wages. Investment and internal demands are … the intuition that offshoring hits the medium-low skill categories. …
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fixed offshoring costs. In the skill-abundant country, high-productivity firms offshore a larger range of labor … 2007, we provide empirical support for the factor proportions channel through which offshoring to labor-abundant countries …
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integration)? Which firms choose to expand their sourcing activities across the national border (offshoring)? This letter provides … vertical integration and of offshoring tend to have been more productive ex ante than firms choosing not to do so. This finding …
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