International Outsourcing and Productivity in Italian Manufacturing Sectors
AbstractThis paper estimates the effect of international outsourcing of materials and services on productivity in Italian manufacturing sectors during the period 1985-1997. Three different measures of outsourcing are used. Firstly, a "narrow" measure of outsourcing is calculated as the intensity of intermediate inputs that each sector imports from the same sector abroad. Secondly, a "broad" measure of outsourcing of materials is calculated as the intensity of materials imported from non-energy manufacturing sectors abroad. Finally, outsourcing of services is measured as the total imported business and financial services. Outsourcing is modelled as to affect TFP and the results suggest a general positive effect of outsourcing of materials. The effect of outsourcing of services seems to be ambiguous: it is positive for the traditional sectors and negative for the advanced sectors.
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Bibliographic InfoArticle provided by SIE - Societa' Italiana degli Economisti (I) in its journal Rivista Italiana degli Economisti.
Volume (Year): 12 (2007)
Issue (Month): 1 (April)
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- Sandro Montresor & Davide Antonioli & Massimiliano Mazzanti & Paolo Pini, 2009. "Outsourcing and firm productivity: evidence for an Italian local production system," Openloc Working Papers 0907, Public policies and local development.
- Ricotta, Fernanda, 2010. "Global Value Chain Indicators: Application to the Italian Sectors - Gli indicatori della global value chain: un’applicazione ai settori italiani," Economia Internazionale / International Economics, Camera di Commercio di Genova, vol. 63(4), pages 423-450.
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