Offshoring and Occupational Wages: Some empirical evidence
AbstractOffshoring has changed the pattern of international competition; labor in specific occupations rather than whole firms and sectors are now facing competition. Accordingly, wages in offshorable occupations are affected in new ways. In this paper we investigate the effects of offshoring of electronically traded services on relative occupational wages in 13 countries in the 1990-2003 period. Our findings show that increased exports of IT-related services lead to higher relative wages in offshorable occupations, whereas increased imports of such service reduce them. There is also some evidence that the impact of offshoring on relative wages is larger the lower the level GDP per capita.
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Bibliographic InfoPaper provided by University of Gothenburg, Department of Economics in its series Working Papers in Economics with number 312.
Length: 29 pages
Date of creation: 05 Aug 2008
Date of revision:
Contact details of provider:
Postal: Department of Economics, School of Business, Economics and Law, University of Gothenburg, Box 640, SE 405 30 GÖTEBORG, Sweden
Phone: 031-773 10 00
Web page: http://www.handels.gu.se/econ/
More information through EDIRC
Offshoring; globalization; occupational wages; service trade;
Other versions of this item:
- Arne Bigsten & Dick Durevall & Farzana Munshi, 2012. "Offshoring and occupational wages: Some empirical evidence," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 21(2), pages 253-269, January.
- F15 - International Economics - - Trade - - - Economic Integration
- F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
- J31 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs - - - Wage Level and Structure; Wage Differentials
This paper has been announced in the following NEP Reports:
- NEP-ALL-2008-08-14 (All new papers)
- NEP-BEC-2008-08-14 (Business Economics)
- NEP-INT-2008-08-14 (International Trade)
- NEP-LAB-2008-08-14 (Labour Economics)
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