Offshoring and skill-biased technical change

Daron Acemoglu, Gino Gancia, Fabrizio Zilibotti 30 September 2014

a

A

Offshoring, the demand for skill, and biased innovations

The rapid rise of offshoring has been one of the most visible trends in the US labour market over the last three decades. Despite its prevalence, the implications for wages and skill premia are still debated (see, for instance, Grossman and Rossi-Hansberg 2008 and Baldwin and Robert-Nicoud 2014).

a

A

Topics:  International trade Labour markets Poverty and income inequality Productivity and Innovation

Tags:  offshoring, skill-biased technical change, Inequality, wages, technological progress, innovation

More evidence for technology’s role in the clean-up of manufacturing

Arik Levinson 24 September 2014

a

A

Pollution emitted by manufacturers has been falling for decades in Europe and the US, while the real value of manufacturing output has been growing (Brunel 2014). What accounts for this clean-up? A worrisome explanation is that rich countries have been offshoring the pollution-intensive, or ‘dirty’, parts of their manufacturing sectors, producing the clean goods and doing final assembly at home while importing the dirty goods and resource-intensive intermediate inputs. That’s worrisome for two reasons.

a

A

Topics:  Environment

Tags:  manufacturing, pollution, clean-up, offshoring

The US manufacturing base is surprisingly strong

Theodore H. Moran, Lindsay Oldenski 09 August 2014

a

A

Recently, a number of studies, descriptive employment statistics, and statements by US politicians have raised concerns about the strength of US manufacturing. For example, in a January 2014 Journal of Economic Perspectives article, Martin Baily and Barry Bosworth expressed concern about the recent absolute decline in US manufacturing employment, as well as the long-recognised decreasing share of manufacturing within overall US employment.

a

A

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

a

A

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). Recent research analyses the benefits to firms from outsourcing, focusing mainly on productivity and innovation effects. The latter are particularly important, since innovation is a key determinant of productivity improvements and – ultimately – growth.

a

A

Topics:  International trade Productivity and Innovation

Tags:  R&D, offshoring, innovation, international trade, emerging markets, outsourcing, technology transfer

Does offshoring hurt domestic innovation activities?

Bernhard Dachs, Bernd Ebersberger, Steffen Kinkel, Oliver Som 07 September 2013

a

A

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. Most contributions investigated the effects of offshoring on output, employment or skills (see the surveys of Lipsey 2002, Olsen 2006, Crinò 2009) and find a complementary relationship between foreign and domestic economic activity, at least in the long run.

a

A

Topics:  Productivity and Innovation

Tags:  R&D, Labour Markets, offshoring

Being in a global value chain: Hell or heaven?

Antonio Accetturo, Anna Giunta, Salvatore Rossi 15 December 2012

a

A

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). It follows that international trade is increasingly in tasks rather than in goods (Miroudot and Ragoussis 2009; Baldwin and Robert-Nicoud 2010); value (or supply) chains linking together all these tasks have become global and form the core of a new international division of labour.

a

A

Topics:  Industrial organisation International trade

Tags:  offshoring, global value chains, trade network

Offshoring and middle-income workers in the US

Lindsay Oldenski 16 October 2012

a

A

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". At the same time, Barack Obama has made the middle class the centrepiece of many of his campaign proposals, with his official website claiming that "President Obama is fighting to grow the economy from the middle class out, not the top down."

a

A

Topics:  International trade

Tags:  offshoring, comparative advantage, polarisation

Effects of offshoring on home employment and skill upgrading

Yasuyuki Todo 15 July 2012

a

A

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). Empirically, existing studies often find that the effects of offshoring on the size of domestic employment are either negative but quantitatively small (Amiti and Wei 2006; Harrison and McMillan 2011), or positive (Moser et al. 2009).

a

A

Topics:  International trade Productivity and Innovation

Tags:  offshoring, Japan

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

Rachel Griffith, Helen Miller, Laura Abramovsky 15 March 2012

a

A

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.

a

A

Topics:  International trade Productivity and Innovation

Tags:  offshoring, outsourcing

Services trade, the IT revolution, and occupational tasks

Giordano Mion, Andrea Ariu 25 February 2012

a

A

a

A

Topics:  International trade

Tags:  IT, offshoring, Belgium, trade in services

Pages