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Outsourcing and Structural Change: What Can Input-Output Analysis Say About It?

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  • Montresor Sandro
  • Vittucci Marzetti Giuseppe

Abstract

The paper aims at investigating the capacity of input-output analysis to identify the structural change implications of outsourcing. In particular, it develops the idea that outsourcing leaves "traces" in the intersectoral structure of one economy that can be caught empirically, to a different extent by different indicators. The pros and cons of these indicators are discussed from a methodological point of view and their actual interpretative power shown through an application to the OECD area for the '80s and the early '90s. The main result of the paper is that an accurate mapping of the relationship between outsourcing and structural change requires us to use different indicators jointly, rather than alternatively. In particular, a purely sectoral kind of perspective needs to be combined with a subsystem one, which detects the effects of outsourcing on the vertical integration degree of one economy's sectors.

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File URL: http://www.rivisteweb.it/download/article/10.1428/24089
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Bibliographic Info

Article provided by Società editrice il Mulino in its journal Economia politica.

Volume (Year): (2007)
Issue (Month): 1 ()
Pages: 43-78

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Handle: RePEc:mul:jb33yl:doi:10.1428/24089:y:2007:i:1:p:43-78

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Cited by:
  1. Daria Ciriaci & Daniela Palma, 2012. "To what extent are knowledge-intensive business services contributing to manufacturing? A subsystem analysis," JRC-IPTS Working Papers on Corporate R&D and Innovation 2012-02, Institute of Prospective Technological Studies, Joint Research Centre.
  2. S. Montresor & G. Vittucci Marzetti, 2008. "The deindustrialisation/tertiarisation hypothesis reconsidered: a subsystem application to the OECD7," Working Papers 622, Dipartimento Scienze Economiche, Universita' di Bologna.
  3. Garbellini, Nadia, 2009. "Natural rates of profit, natural prices, and the actual economic systems - a theoretical framework," MPRA Paper 15941, University Library of Munich, Germany.
  4. Garbellini, Nadia, 2010. "Structural Change and Economic Growth: Production in the Short Run — A generalisation in terms of vertically hyper-integrated sectors," MPRA Paper 25684, University Library of Munich, Germany.
  5. Daria Ciriaci & Sandro Montresor & Daniela Palma, 2013. "Do KIBS make manufacturing more innovative? An empirical investigation for four European countries," JRC-IPTS Working Papers on Corporate R&D and Innovation 2013-04, Institute of Prospective Technological Studies, Joint Research Centre.

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