Choi, E. Kwan; Choi, Jai-Young - In: Frontiers in Finance and Economics 7 (2010) 1, pp. 60-81
This paper investigates outsourcing and foreign direct investment (FDI) decisions based on factor price differentials in North-South trade when the production is fragmented into two independent processes. It is shown that (a) when the Southern firm does not have the Northern firm-specific...