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We examine the effects of endogenous offshoring on cost-efficiency, wages and unemployment in a task-assignment model … downward pressure on all wages through domestic skill-task reallocation. If elasticities of task substitution are low (high …), the downward pressure on wages in neighboring skill segments is low (high) with a net effect of higher (lower) wages and …
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in middle wage jobs relative to both high and low wage jobs. Our theory explains recent and historical instances of job …
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We examine the effects of endogenous offshoring on cost-efficiency, wages and unemployment in a taskassignment model … downward pressure on all wages through domestic skill-task reallocation. If elasticities of task substitution are low (high …), the downward pressure on wages in neighboring skill segments is low (high) with a net effect of higher (lower) wages and …
Persistent link: https://www.econbiz.de/10010480329
Job polarization the rise in employment shares of high and low skill jobs at the expense of middle skill jobs occurred in the US not just recently, but also in the late nineteenth and early twentieth centuries. We argue that in each case polarization resulted from increased automation, and...
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