Marjit, Sugata; Mukherjee, Arijit - 2005
wage is relatively high. If outsourcing positively affects the productivity of the skilled workers, it provides further …This paper considers the effect of outsourcing on R&D of the contracting firm. We show that outsourcing increases … (decreases) R&D investment in a declining (booming) industry. If outsourcing reduces potential R&D investment, it may also make …