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Fear of Service Outsourcing: Is it Justified?

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Author Info

  • Mary Amiti
  • Shang-Jin Wei

Abstract

The recent media and political attention on service outsourcing from developed to developing countries gives the impression that outsourcing is exploding. As a result, workers in industrial countries are anxious about job losses. This paper aims to establish what are the hypes and what are the facts. The results show that although service outsourcing has been steadily increasing it is still very low, and that in the United States and many other industrial countries "insourcing" is greater than outsourcing. Using the United Kingdom as a case study, we find that job growth at a sectoral level is not negatively related to service outsourcing.

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Bibliographic Info

Paper provided by International Monetary Fund in its series IMF Working Papers with number 04/186.

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Length: 41
Date of creation: 01 Oct 2004
Date of revision:
Handle: RePEc:imf:imfwpa:04/186

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Keywords: Employment;

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References

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  1. Paul Krugman, 1995. "Growing World Trade: Causes and Consequences," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 26(1, 25th A), pages 327-377.
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  18. repec:rus:hseeco:121607 is not listed on IDEAS
  19. repec:fth:michin:422 is not listed on IDEAS
  20. Hijzen, Alexander & Görg, Holger & Hine, Robert C., 2003. "International Fragmentation and Relative Wages in the UK," IZA Discussion Papers 717, Institute for the Study of Labor (IZA).
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As found by EconAcademics.org, the blog aggregator for Economics research:
  1. Job insecurity: who's to blame?
    by chris dillow in Stumbling and Mumbling on 2007-05-24 09:35:14
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