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Service Offshoring and the Skill Composition of Labour Demand

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  • Rosario Crinò

Abstract

This paper studies the effects of service offshoring on the skill composition of labor demand, using novel comparable data for nine Western European countries between 1990 and 2004. The empirical analysis delivers three main results. First, service offshoring is skill-biased, because it increases the demand for high and medium skilled labor and decreases the demand for low skilled labor. Second, the effects of service offshoring are similar to those of material offshoring, both qualitatively and quantitatively. Third, the economic magnitude of these effects is not large.
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  • Rosario Crinò, 2012. "Service Offshoring and the Skill Composition of Labour Demand," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 74(1), pages 20-57, February.
  • Handle: RePEc:bla:obuest:v:74:y:2012:i:1:p:20-57
    DOI: j.1468-0084.2010.00634.x
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    3. Carmine Ornaghi & Ilke Van Beveren & Stijn vanormelingen,, 2017. "The impact of service and goods offshoring on employment : Firm-level evidence," Working Paper Research 319, National Bank of Belgium.
    4. Sotiris Blanas, 2017. "Offshoring and the Age-Skill Composition of Labour Demand," Working Papers 209919378, Lancaster University Management School, Economics Department.
    5. Ariu, Andrea & Nilsson Hakkala, Katariina & Jensen, J. Bradford & Tamminen, Saara, 2019. "Service Imports, Workforce Composition, and Firm Performance: Evidence from Finnish Microdata," ETLA Working Papers 70, The Research Institute of the Finnish Economy.
    6. Foster-McGregor, Neil & Kaulich, Florian & Stehrer, Robert, 2015. "Global Value Chains in Africa," MERIT Working Papers 2015-024, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    7. Bart Hertveldt & Bernhard Michel, 2013. "Offshoring and the Skill Structure of Labour Demand in Belgium," De Economist, Springer, vol. 161(4), pages 399-420, December.

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