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Job Losses, Outsourcing and Relocation: Empirical Evidence Using Microdata

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  • Artís, Manuel

    (University of Barcelona)

  • Ramos, Raul

    (University of Barcelona)

  • Surinach, Jordi

    (University of Barcelona)

Abstract

Using microdata, we analyse the determinants of firm relocation and outsourcing decisions and their effects on firms’ employment decisions. The results for a sample of 32 countries show that both strategies have been more intense in the EU-15 countries than in the rest and that, in some cases, they have been complementary. Regarding the determinants, we have found that while some characteristics such as size, age, activity sector, main market or belonging to a group affect both decisions, other such as a higher innovation, demand sensitivity or productivity explain why some firms choose to subcontract instead of relocate.

Suggested Citation

  • Artís, Manuel & Ramos, Raul & Surinach, Jordi, 2007. "Job Losses, Outsourcing and Relocation: Empirical Evidence Using Microdata," IZA Discussion Papers 2978, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp2978
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    More about this item

    Keywords

    triprobit model; outsourcing; firm relocation;
    All these keywords.

    JEL classification:

    • R30 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - General
    • M55 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Labor Contracting Devices
    • M51 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Personnel Economics - - - Firm Employment Decisions; Promotions

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