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Labor market effects of international outsourcing: How measurement matters

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  • Horgos, Daniel

Abstract

As regards labor market effects of International Outsourcing, empirical results differ strongly. This is not only due to different data, the use of different indices adds to the puzzle. This paper investigates the importance of measurement differences for analyzing labor market effects of International Outsourcing. To this end, several indices are compared with respect to their design, their descriptive properties, their quality in proxying International Outsourcing activities, and their econometrical performance. As the results show, International Outsourcing effects depend strongly on measurement differences and the level of industry aggregation. Considering these results, different empirical findings can be reconciled.

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Bibliographic Info

Article provided by Elsevier in its journal International Review of Economics & Finance.

Volume (Year): 18 (2009)
Issue (Month): 4 (October)
Pages: 611-623

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Handle: RePEc:eee:reveco:v:18:y:2009:i:4:p:611-623

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Web page: http://www.elsevier.com/locate/inca/620165

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Keywords: International outsourcing Measurement differences Aggregation bias;

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Citations

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Cited by:
  1. João Amador & Sónia Cabral, 2008. "International Fragmentation of Production in the Portuguese Economy: What do Different Measures Tell Us?," Working Papers w200811, Banco de Portugal, Economics and Research Department.
  2. Amador, João & Cabral, Sónia, 2009. "Vertical specialization across the world: A relative measure," The North American Journal of Economics and Finance, Elsevier, vol. 20(3), pages 267-280, December.
  3. Pablo, Agnese & Joan Enric, Ricart, 2009. "Offshoring: Facts and numbers at the country level," MPRA Paper 16503, University Library of Munich, Germany.
  4. W. Koller & Robert Stehrer, 2008. "Outsourcing and Employment: A Decomposition Approach," FIW Research Reports series I-018, FIW.
  5. Ronald Bachmann & Sebastian Braun, 2008. "The Impact of International Outsourcing on Labour Market Dynamics in Germany," Ruhr Economic Papers 0053, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
  6. Daniel Horgos, 2012. "International Outsourcing and Wage Rigidity," Global Economy Journal, De Gruyter, vol. 12(2), pages 1.
  7. Agnese, Pablo, 2009. "Japan and her dealings with offshoring: An empirical analysis with aggregate data," IESE Research Papers D/793, IESE Business School.
  8. Marcela Sabaté, 2009. "Vertical Specialization and Nonstationarities in International Trade Series," The Institute for International Integration Studies Discussion Paper Series iiisdp309, IIIS.
  9. Rosario Crinò, 2007. "Service Offshoring and White-Collar Employment," CESifo Working Paper Series 2040, CESifo Group Munich.
  10. Anna M. Falzoni & Lucia Tajoli, 2008. "Offshoring and the skill composition of employment in the Italian manufacturing industries," KITeS Working Papers 219, KITeS, Centre for Knowledge, Internationalization and Technology Studies, Universita' Bocconi, Milano, Italy, revised Jul 2008.
  11. William Milberg & Deborah Winkler, 2009. "Globalization, Offshoring and Economic Insecurity in Industrialized Countries," Working Papers 87, United Nations, Department of Economics and Social Affairs.
  12. Agnese, Pablo & Ricart, Joan E., 2009. "Offshoring: Facts and figures at the country level," IESE Research Papers D/792, IESE Business School.

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