The US manufacturing base is surprisingly strong

Theodore H. Moran, Lindsay Oldenski, 9 August 2014

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Recently, a number of studies, descriptive employment statistics, and statements by US politicians have raised concerns about the strength of US manufacturing.

Topics: Industrial organisation, Productivity and Innovation
Tags: employment, multinationals, offshoring, US manufacturing

Offshoring and its effects on innovation in emerging economies

Ursula Fritsch, Holger Görg, 23 September 2013

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Most empirical studies of the impact of outsourcing on firms look at industrialised countries. However, outsourcing is also common in emerging economies, and firms in middle-income countries split up their production processes similarly to firms in developed countries (see figures in Miroudot et al. (2009) on trade in intermediates).

Topics: International trade, Productivity and Innovation
Tags: emerging markets, innovation, international trade, offshoring, outsourcing, R&D, technology transfer

Does offshoring hurt domestic innovation activities?

Bernhard Dachs, Bernd Ebersberger, Steffen Kinkel, Oliver Som, 7 September 2013

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Offshoring of production activities has been a topic of economic policy debates for at least the last decade. A central issue in these debates are the economic effects of offshoring on firms in the home country.

Topics: Productivity and Innovation
Tags: Labour Markets, offshoring, R&D

Being in a global value chain: Hell or heaven?

Antonio Accetturo, Anna Giunta, Salvatore Rossi, 15 December 2012

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The recent literature on global value chains has shown that the production of every good (from computers to retail trade services) now consists of a series of separate tasks (unbundling), each of which can be located outside the boundaries of the 'final' firm (Blinder 2006).

Topics: Industrial organisation, International trade
Tags: global value chains, offshoring, trade network

Offshoring and middle-income workers in the US

Lindsay Oldenski, 16 October 2012

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As the US presidential election approaches, both candidates have been focusing on the state of the middle class. In the first presidential debate, Mitt Romney claimed: "the people who are having the hard time right now are middle income Americans. Under the president's policies, middle income Americans have been buried".

Topics: International trade
Tags: comparative advantage, offshoring, polarisation

Effects of offshoring on home employment and skill upgrading

Yasuyuki Todo, 15 July 2012

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How offshoring affects the home economy, particularly home employment and inequality, has been a hot issue in policy circles in many developed countries. Theoretically, the employment and wage effects of offshoring can go either way, depending on how offshoring affects domestic productivity and technology (Baldwin 2010).

Topics: International trade, Productivity and Innovation
Tags: Japan, offshoring

Offshoring of high-skilled workers is not a zero-sum game

Rachel Griffith, Helen Miller, Laura Abramovsky, 15 March 2012

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It has been well documented that US and European multinationals have expanded the amount of high-tech investment and innovative activities carried out offshore (OECD 2008). There is evidence that firms may offshore innovation activities not only to adapt products to local conditions but also to develop state-of-the-art technology.

Topics: International trade, Productivity and Innovation
Tags: offshoring, outsourcing

Services trade, the IT revolution, and occupational tasks

Giordano Mion, Andrea Ariu, 25 February 2012

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Topics: International trade
Tags: Belgium, IT, offshoring, trade in services

Services offshoring increases wage inequality

Holger Görg, Ingo Geishecker, Christiane Krieger-Boden, 24 December 2011

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Offshoring from industrialised countries always evokes hot debate in public and academic circles. Worries concern a loss of employment opportunities in unskilled jobs at one point, and in high-skilled jobs at another. Other worries concern the suspected devaluation of unskilled labour.

Topics: International trade
Tags: offshoring, UK, wages

When offshoring backfires

Xiaole Wu, Fuqiang Zhang, 5 November 2011

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While politicians argue strategies to create jobs in the faltering global economy, the debate around offshoring has intensified. Once considered a clear competitive advantage in the fast-changing global market, manufacturers rushed to replace domestic labour forces with lower-cost workers in emerging markets.

Topics: Industrial organisation, Productivity and Innovation
Tags: offshoring, onshoring, outsourcing

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