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Employment Effects of Service Offshoring: Evidence from Matched Firms

Author

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  • Rosario Crinò

    () (Institut d’Analisi Economica, CSIC and Centro Studi Luca d’Agliano)

Abstract

This paper studies the e¤ects of service o¤shoring on the level and skill composition of domestic employment, using a rich data set of Italian rms and propensity score matching techniques. The results show that service o¤shoring has no e¤ect on the level of employment but changes its composition in favor of high skilled workers.

Suggested Citation

  • Rosario Crinò, 2009. "Employment Effects of Service Offshoring: Evidence from Matched Firms," Development Working Papers 286, Centro Studi Luca d'Agliano, University of Milano.
  • Handle: RePEc:csl:devewp:286
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    File URL: http://www.dagliano.unimi.it/media/WP2009_286.pdf
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    References listed on IDEAS

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    1. Rosario Crinò, 2009. "Offshoring, Multinationals And Labour Market: A Review Of The Empirical Literature," Journal of Economic Surveys, Wiley Blackwell, vol. 23(2), pages 197-249, April.
    2. Andrea Ichino & Fabrizia Mealli & Tommaso Nannicini, 2008. "From temporary help jobs to permanent employment: what can we learn from matching estimators and their sensitivity?," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 23(3), pages 305-327.
    3. Gregory Mankiw, N. & Swagel, Phillip, 2006. "The politics and economics of offshore outsourcing," Journal of Monetary Economics, Elsevier, vol. 53(5), pages 1027-1056, July.
    4. Tommaso Nannicini, 2007. "Simulation-based sensitivity analysis for matching estimators," Stata Journal, StataCorp LP, pages 334-350.
    5. R. Antonietti & D. Antonioli, 2007. "Production offshoring and the skill composition of Italian manufacturing firms A quasi-experimental analysis," Working Papers 593, Dipartimento Scienze Economiche, Universita' di Bologna.
    6. Geishecker, Ingo & Görg, Holger, 2008. "Services offshoring and wages: Evidence from micro data," Kiel Working Papers 1434, Kiel Institute for the World Economy (IfW).
    7. Mary Amiti & Shang-Jin Wei, 2005. "Fear of service outsourcing: is it justified?," Economic Policy, CEPR;CES;MSH, vol. 20(42), pages 308-347, April.
    8. Gorg, Holger & Hanley, Aoife, 2005. "Labour demand effects of international outsourcing: Evidence from plant-level data," International Review of Economics & Finance, Elsevier, vol. 14(3), pages 365-376.
    9. Ingo Geishecker & Holger Görg, 2013. "Services offshoring and wages: evidence from micro data," Oxford Economic Papers, Oxford University Press, vol. 65(1), pages 124-146, January.
    10. Rosario Crinò, "undated". "Service Offshoring and White-Collar Employment," Working Papers 391, Barcelona Graduate School of Economics.
    11. Runjuan Liu & Daniel Trefler, 2008. "Much Ado About Nothing: American Jobs and the Rise of Service Outsourcing to China and India," NBER Working Papers 14061, National Bureau of Economic Research, Inc.
    12. Roberto Antonietti & Davide Antonioli, 2007. "Production Offshoring and the Skill Composition of Italian Manufacturing Firms: A Counterfactual Analysis," Working Papers 2007.97, Fondazione Eni Enrico Mattei.
    13. Becker Sascha O & Muendler Marc-Andreas, 2008. "The Effect of FDI on Job Security," The B.E. Journal of Economic Analysis & Policy, De Gruyter, pages 1-46.
    14. Edwin Leuven & Barbara Sianesi, 2003. "PSMATCH2: Stata module to perform full Mahalanobis and propensity score matching, common support graphing, and covariate imbalance testing," Statistical Software Components S432001, Boston College Department of Economics, revised 01 Feb 2018.
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    Citations

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    Cited by:

    1. 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.
    2. Crinò, Rosario, 2012. "Imported inputs and skill upgrading," Labour Economics, Elsevier, vol. 19(6), pages 957-969.
    3. Wei, Xuan & Meng, Xianwei & Thornsbury, Suzanne, 2013. "A Structural Estimation of the Employment Effects of Offshoring in the U.S. Labor Market," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150730, Agricultural and Applied Economics Association.
    4. Elisa Borghi & Rosario Crinò, 2013. "Service offshoring and wages: worker-level evidence from Italy," LIUC Papers in Economics 264, Cattaneo University (LIUC).
    5. 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.
    6. Wei, Xuan & Meng, Xianwei & Thornsbury, Suzanne, 2013. "A Structural Estimation of the Employment Effects of Offshoring in the U.S. Labor Market," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 151278, Agricultural and Applied Economics Association.

    More about this item

    Keywords

    Service Offshoring; Employment; Skills; Propensity Score Matching; Sensitivity Analysis;

    JEL classification:

    • F1 - International Economics - - Trade

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