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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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We show that, even with flexible domestic wages, international outsourcing may worsen the welfare of the home country and reduce the profits of all firms. If wages are rigid, outsourcing is welfare-improving if and only if the sum of the “trade creation” effect and the “exploitation...
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Recent contributions on offshoring often assume that firms can freely split their production process into separate … technologically determined sequence of production steps. In our model, cost savings from offshoring fluctuate along the production … from offshoring even if relocating individual steps would be advantageous in terms of offshoring costs, or they may …
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organizational and spatial relocation derived from the existing literature on offshoring. Applying principal component analysis, we …. Moreover, our computed indicators can be used to further investigate the economic effects of offshoring potential. …
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Qualification and Working Conditions in Germany and employ a large set of potential determinants of offshoring and outsourcing … measure both the offshoring potentials (cross-country geographical relocation) and the outsourcing potentials (organisational …
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The objective of this report is to examine the extent to which countries in Latin America and the Caribbean participate in global value chains and what are the drivers of such participation. Production processes have been increasingly fragmented worldwide. For example, the production of the...
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