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International Outsourcing, the Nature of Tasks, and Occupational Stability – Empirical Evidence for Germany

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Author Info
Daniel Baumgarten ()

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Abstract

Using a large administrative data set of individual employment histories in Germany, this paper studies how international outsourcing affects the individual risk of leaving the occupation. Moreover, a rich data set on tasks performed in occupations is used to better characterize the sources of worker vulnerability. While international service outsourcing is associated with an increase in overall stability, the impact of international material outsourcing is slightly negative. These effects, however, are not uniform but depend on the nature of tasks performed in the occupation. Higher intensities of non-routine and interactive tasks are associated with a more beneficial (or less adverse) impact of international outsourcing on occupational stability.

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Publisher Info
Paper provided by Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen in its series Ruhr Economic Papers with number 0108.

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Length: 38 pages
Date of creation: May 2009
Date of revision:
Handle: RePEc:rwi:repape:0108

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Related research
Keywords: Occupational stability; international outsourcing; duration analysis;

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Find related papers by JEL classification:
F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
J23 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Demand
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
J63 - Labor and Demographic Economics - - Mobility, Unemployment, and Vacancies - - - Turnover; Vacancies; Layoffs

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  2. Ronald Bachmann & Sebastian Braun, 2008. "The Impact of International Outsourcing on Labour Market Dynamics in Germany," Ruhr Economic Papers 0053, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen. [Downloadable!]
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