effects of offshoring on aggregate demand and domestic employment. Offshoring is represented as labor-saving import … employment. If the markup remains constant, the net effect of offshoring on domestic demand and employment is ambiguous; it … through higher markups, the scale effect of labor demand is negative, and offshoring unambiguously reduces domestic demand and …

Offshoring of US jobs is controversial. Critics fear that offshoring will lead to lost jobs and lower domestic wages at … into offshoring. Given a shock that lowers offshoring costs, the theory predicts that domestic wages rise at firms that … offshore relative to domestic wages at firms that do not. The theory also predicts that domestic employment could rise or fall …

services offshoring increased sectoral labour productivity, but reduced German manufacturing employment. The overall results …Economists have recently recognised services offshoring as an important influence on domestic labour market outcomes … trade has further accelerated the volume of services trade. Our econometric estimations focus on services offshoring by …