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Offshoring, the Nature of Tasks, and Occupational Stability: Empirical Evidence for Germany

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  • Daniel Baumgarten

Abstract

type="main" xml:id="twec12155-abs-0001"> Using a large administrative data set of individual employment histories for Germany, this paper studies the relationship between offshoring and the individual risk of leaving the occupation. Moreover, a rich data set on tasks performed in occupations is used to better characterise the sources of worker vulnerability. Both material and service offshoring are, on average, not associated with an increase in occupational outflow rates. However, this association depends on the nature of tasks performed in the occupation. Higher intensities of interactive and, in particular, non-routine tasks are associated with a larger decrease (or a smaller increase) in the occupational hazard rate.

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  • Daniel Baumgarten, 2015. "Offshoring, the Nature of Tasks, and Occupational Stability: Empirical Evidence for Germany," The World Economy, Wiley Blackwell, vol. 38(3), pages 479-508, March.
  • Handle: RePEc:bla:worlde:v:38:y:2015:i:3:p:479-508
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    File URL: http://hdl.handle.net/10.1111/twec.2015.38.issue-3
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    Cited by:

    1. Ronald Bachmann & Merve Cim & Colin Green, 2019. "Long‐Run Patterns of Labour Market Polarization: Evidence from German Micro Data," British Journal of Industrial Relations, London School of Economics, vol. 57(2), pages 350-376, June.
    2. Aleksandra Parteka & Joanna Wolszczak-Derlacz, 2020. "Wage response to global production links: evidence for workers from 28 European countries (2005–2014)," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 156(4), pages 769-801, November.
    3. Budría, Santiago & Milgram Baleix, Juliette, 2020. "Offshoring, job satisfaction and job insecurity," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy (IfW), vol. 14, pages 1-32.
    4. Borrs, Linda & Eppelsheimer, Johann, 2020. "The effects of foreign direct investment on job stability: Upgrades, downgrades, and separations," IAB Discussion Paper 202024, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    5. Tobias Brändle & Andreas Koch, 2017. "Offshoring and Outsourcing Potentials: Evidence from German Micro-Level Data," The World Economy, Wiley Blackwell, vol. 40(9), pages 1775-1806, September.
    6. bernhard Boockmann, 2014. "Offshoring Potential and Employment Dynamics," IAW Discussion Papers 111, Institut für Angewandte Wirtschaftsforschung (IAW).
    7. Aleksandra Parteka & Joanna Wolszczak-Derlacz, 0. "Wage response to global production links: evidence for workers from 28 European countries (2005–2014)," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 0, pages 1-33.
    8. Gueyon Kim & Dohyeon Lee, 2020. "Offshoring and Segregation by Skill: Theory and Evidence," Working Papers 2020-073, Human Capital and Economic Opportunity Working Group.

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